(Pixabay)

Unemployment rate sticks at 43-year low of 5.6%

For the second straight month, the jobless rate was at its lowest level since Stats Can started measuring comparable data in 1976

The unemployment rate stayed at its 43-year low of 5.6 per cent last month as the economy closed out 2018 with the addition of 9,300 net new jobs, Statistics Canada said Friday.

For the second straight month, the jobless rate was at its lowest level since Statistics Canada started measuring comparable data in January 1976.

Economists had expected the addition of 5,500 jobs in December and an unemployment rate of 5.7 per cent, according to Thomson Reuters Eikon.

READ MORE: Can the Liberals take all the credit for economic and job gains?

But even in a tightened job market the latest labour force survey shows wage growth delivered another weak reading in December of 1.49 per cent — well below inflation.

Year-over-year average hourly wage growth for permanent employees was 1.46 per cent in November — and it has decelerated steadily since its May peak of 3.9 per cent.

The December result follows a gain of 94,100 net jobs in November, the country’s largest monthly increase since March 2012.

In the jobs report Friday, the overall employment gain of 9,300 for December was deemed too low by Statistics Canada to be statistically significant.

But a closer look revealed some important changes.

Alberta, which has been hit hard by a drop in oil prices, saw a net decrease last month of 16,900 jobs or 0.7 per cent, compared with November, as an increase in part-time work was far outweighed by a loss of 36,200 full-time positions.

READ MORE: How long can it go? Economy enters 2019 with signs of weakness

For all of 2018, employment in Alberta rose 0.9 per cent as the province added 21,600 jobs. The provincial unemployment rate fell from seven per cent at the start of 2018 to 6.4 per cent at the end of the year.

Across the country, Statistics Canada said the country gained 163,300 net new jobs in 2018 for an increase of 0.9 per cent, which was a slower pace of growth compared with 2.3 per cent in 2017 and 1.2 per cent in 2016.

Employment growth in 2018 was concentrated in the services sectors, which generated 151,000 positions compared to an increase of just 12,300 in goods-producing industries.

In 2018, employment for women aged 25 to 54 grew by 125,600 positions or 2.2 per cent, compared to an increase of 60,600 jobs or one per cent for men in the same age category.

The report Friday was the first major economic data release of 2019.

The Bank of Canada has been monitoring wage growth ahead of its interest-rate decisions as it tries to determine how well indebted households can absorb higher borrowing costs.

The central bank, which will make a rate announcement next Wednesday, has raised its benchmark rate five times since the summer of 2017 in response to Canada’s strong economic performance. Governor Stephen Poloz has signalled that more increases will be needed to prevent inflation from rising too high.

(Canadian Press)

Like us on Facebook and follow us on Twitter.

Just Posted

Council agrees to draft memorandum of understanding with North Island Seniors Housing Foundation

A memorandum of understanding between the district and the NISHF is a prerequisite for funding.

VIDEO: Pride flag unveiled at North Island College in Port Hardy

Festivities included a barbecue, cupcakes, buttons, and rainbows flags for people to wave proudly.

Loggers Golf Tournament returns to the links at Seven Hills Golf and Country Club

The North Island Logger’s Golf Tournament has been running for over 30 years.

Port Hardy Mayor gives an update on the much anticipated multiplex project

Port Hardy’s much anticipated multiplex project is still on hold, with no… Continue reading

Port McNeill Kids in Motion gets 300 bucks from council for swimming time at outdoor pool

Port McNeill Kids in Motion are a registered non-profit society,

Scorpion gives birth after hitching ride in B.C. woman’s luggage

A Vancouver woman inadvertently brought the animal home from a trip to Cuba

B.C. teen killed by falling tree near Victoria

Second youth also injured in freak incident during field trip at Camp Barnard near Sooke

Commercial fishers in B.C. now required to wear life-jackets on deck: WorkSafeBC

WorkSafeBC reports 24 work-related deaths in the commercial fishing industry between 2007 and 2018

Rossland boy finds human kindness sweet as honey after beehive destroyed

Family overwhelmed by kind offerings of strangers all across B.C.

B.C. files second legal challenge against Alberta over turn-off-taps law

B.C. government filed a second lawsuit against Alberta on June 14

Tax credits, penalizing big polluters, key to Conservative climate plan

Canada’s commitment is to cut emissions to 70 per cent of what they were in 2005 before 2030

Comox Samaritan covers bear with blanket, gets a big surprise

Conservation officer says person lucky after animal hit by car in record year for bear encounters

Victoria double murder trial: Blood splatter analyst found no shoe prints on scene

RCMP analyst testifies to smears, fingermarks, ‘swipe and wipe’ patterns around apartment

Elias Pettersson wins Calder Trophy as NHL’s top rookie

Vancouver forward first Canuck to win award since Pavel Bure in 1992

Most Read