City unemployment rate drops; province adds jobs
Published Saturday October 8th, 2011
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By STEPHEN LLEWELLYN and NATALIE STECHYSON
The Daily Gleaner
Fredericton's unemployment rate fell by a percentage point in September compared to the previous month.
The capital's unemployment rate is 6.4 per cent, according to the latest information released by Statistics Canada on Friday. The drop reversed a yearlong trend.
"That is definitely a good decline in the unemployment rate," said Krista Ross, CEO of the Fredericton Chamber of Commerce. "We're happy to see that."
She said employment associated with a new school year seemed to boost the numbers.
She said the province gained 3,000 jobs, and Fredericton is the only one of the three major cities to have a big drop in unemployment.
"Obviously, a lot of those full-time jobs were here," she said.
In August, Fredericton had the highest unemployment rate of the three major cities at 7.4 per cent. Now the capital is in the middle, with Moncton showing an unemployment rate of 7.1 per cent in September, unchanged from August, and Saint John at 5.7 per cent, down slightly from 5.8 per cent in August.
Comparisons between the three cities must be done cautiously because Statistics Canada tracks Fredericton using a three-month moving average, and it records Moncton and Saint John with a seasonally adjusted figure based on their census metropolitan area.
Fredericton's unemployment rate was 5.8 per cent in September 2010.
Ross said the mood of the business community in Fredericton is positive.
"Certainly news like this encourages people even more," she said.
Fredericton labour force figure was 54,300, down from 55,100 in August.
The number of people employed in Fredericton in September was 50,800, compared to 51,000 in the previous month. In September 2010, Fredericton had 53,600 people working.
New Brunswick's unemployment rate fell by 0.3 percentage points to 8.9 per cent in September, according to Statistics Canada.
The province's unemployment rate also decreased by 0.9 percentage points compared to the same month last year.
"It is encouraging for our government to see the unemployment rate drop for the second consecutive month," said Post-Secondary Education, Training and Labour Minister Martine Coulombe in a statement.
"The work we are doing to create an environment that will promote private-sector growth and attract outside investment to the province is starting to show positive outcomes," she said.
Canada's unemployment rate fell to 7.1 per cent in September, down 0.2 percentage points compared to August
New Brunswick added 2,700 jobs to the economy in September- the largest monthly employment increase in at least three years.
This bumped the province's employment rate up 0.8 per cent from August, which was tied with Saskatchewan for the third-highest monthly percentage increase in the country, according to Statistics Canada labour force data.
Prince Edward Island came out on top with a 1.8 per cent employment increase over August, and British Columbia saw a 1.4 per cent increase. Other than Nova Scotia and Newfoundland and Labrador, every province posted positive employment gains.
New Brunswick's increase in September followed a gain of 2,200 jobs in August after four straight months of losses. The most recent increase anywhere close to September's gain was in July 2008, when the province added 2,600 jobs.
The gains in New Brunswick were mostly in service industries, said Vincent Ferrao, an analyst with the labour and statistics division at Statistics Canada.
Jobs were added in retail and wholesale trade, educational services, health-care services and social assistance, and business, building and other support services.
"On a month-over-month basis, the gains were pretty healthy," said Shahrzad Mobasher Fard, an economist with TD Economics.
TD Economics expects New Brunswick to have an annual average percentage expansion in employment of 1.3 per cent in 2012 and 1.3 per cent in 2013, Fard said, but for 2011 it still forecasts a 0.4 per cent contraction.
The increase in jobs pushed down the province's unemployment rate 0.3 percentage points to 8.9 per cent in September. The September unemployment rate was higher than the rates to the west of the province, but beat the rates in Newfoundland and Labrador (13.5 per cent) and Prince Edward Island (9.4 per cent). Nova Scotia had an 8.4 per cent unemployment rate in September, and Quebec registered a 7.3 per cent unemployment rate.
New Brunswick's labour force grew to 387,400 in September, up from 385,700 in August. The province added 3,000 full-time jobs but lost 300 part-time jobs. Despite New Brunswick's month-over-month employment gain, employment in the province was 0.5 per cent lower than 12 months earlier.
Nationally, the unemployment rate dropped to 7.1 per cent - the lowest rate since December 2008 - after adding 61,000 new jobs in September. Gains were seen in educational services; professional, scientific and technical services; accommodation and food services; natural resources; and public administration.
http://nbbusinessjournal.canadaeast....rticle/1446371