Employment in Ontario increased in December

Andrew Cummings
January 11, 2020

Windsor's unemployment rate increased to 7.5 per cent in December 2019, representing a 0.5 per cent increased compared to November 2019.

That said, the growth in the number of jobs in the province did not keep pace with the growth of the provincial labour force over the last 12 months, which explains the increase in the unemployment rate. The end of year unemployment rate of 5.6 per cent was the same as in December 2018.

But the job surge since August, during which the London-area economy added 19,100 new positions, wasn't enough to erase a lacklustre start to 2019 that saw six straight months of job losses.

The Canadian economy added 35,200 jobs in December, fuelled by a gain in full-time jobs, to post the first monthly increase in jobs since September.

Kavcic said he doesn't expect to see a return to the job gains seen in the first half of past year after the weakness in the fourth quarter of 2019. While the jobs report painted a healthy picture of the economy, the manufacturing sector took a blow on Friday as the Boeing supplier Spirit AeroSystems announced layoffs for 2,800 workers in Kansas. The number of self-employed fell by 200. This marks the largest employment loss in the sector since January 2016, when almost 17,000 jobs were eliminated. Growth in Ontario marks the most significant year over year increase since 1987.

"When you see new construction happening in residential towers, in subdivisions and industrial areas, new plants being built, all of those things point to companies investing in new facilities, which translates into new employment generation", Lakhotia said.

The prospect of a stable job market, resumption of global growth, support from central banks, easing of trade tensions and United States economic growth of around 2% should be positive for this year.

"The partial rebound in employment means that the Canadian economic alarm bells have quietened down", Andrew Grantham, senior economist with CIBC Capital Markets, said in a research note to clients. "Some aspects of the jobs data, such as wages, have been performing well, while others, such as hours, have not been".

Sectors facing the biggest losses include finance, insurance, real estate, rental and leasing (-6,800 jobs), public administration (-3,600 jobs) and educational services (-3,300 jobs).

Ontario led the way with 25,000 new jobs, followed by 21,000 in Quebec. Meanwhile, the services-producing sector added 19,400 jobs as the accommodation and food services industry gained 24,900 jobs. But milder-than-normal temperatures in December boosted hiring at construction sites, and employment at retailers surged last month. This likely contributed to an increase in hiring in the retail trade, as the sector created 41,200 jobs in December. An earlier version said jobs rose in November.

Other reports by iNewsToday