More jobs for young people this summer in Canada.

June 5, 2021 0 Comments

After hitting a wall last year, pupils and students who want to work this summer have a better chance of finding a job.

The outlook is improving for pupils and students aged 15 to 24 who want to return to school in September, observes Statistics Canada in its portrait of the labor market for the month of May released yesterday.

At the same time last year, the unemployment rate for pupils and students was 40%. It is now 23.1%, which is still high, but the situation is likely to improve as health restrictions are lifted and seasonal activities resume.

Pupils and students are beginning to return to the labor market, also finds Statistics Canada. Their number has increased by 10% compared to last year. In Quebec, their unemployment rate is approaching its pre-pandemic level. It stood at 14.8% in May, compared to 36.4% in May 2020 and 11.0% in May 2019.

The last labor force survey was conducted during the period of May 9 to 15, when Quebec was beginning to ease the restrictions imposed to fight the third wave of COVID-19.

The data for June should be more positive for the job market, believes Joëlle Noreau, economist at Desjardins.

In the meantime, the labor market stalled in Quebec in May, with a loss of 8,000 jobs and an unemployment rate remained unchanged at 6.6%. In Montreal, the unemployment rate edged up from 7.7% in April to 7.9%. Among the cities of Quebec, Trois-Rivières has the most enviable situation, with the lowest unemployment rate, at 4.2%.

The number of jobs in the province is 96.9% of the level seen before the pandemic.

The “real” unemployment rate

In total, employment fell by 68,000 nationwide last month and the unemployment rate edged up from 8.1% to 8.2%. A year ago, in May 2020, the unemployment rate hit an all-time high at 13.7%.

The “real” unemployment rate is probably 10.7% in Canada, according to Statistics Canada, if you take into account people who want to work, but who are not looking for work because they feel they are unlikely to find a job. find one.

Employment was down for the second month in a row, following a decline of 207,000 in April.

The losses are mainly due to the health situation in Ontario and Nova Scotia and most of the jobs lost are part-time.

For the first time since April 2020, employment fell in the manufacturing and construction sectors, which had so far been untouched by the pandemic.

According to Benoit Durocher, economist at Desjardins, the drop in employment in the manufacturing sector could be explained by supply problems, in particular the shortage of electronic chips which affects several industries.

United States: unemployment drops to 5.8%

Despite job creation twice that of the previous month, the job market disappointed in the United States in May. The US economy created 559,000 jobs last month, the Labor Department said yesterday, when market expectations stood at some 700,000.

The unemployment rate fell from 6.1% to 5.8%, its lowest level since the start of the pandemic.

While nearly half of Americans are vaccinated and can resume normal lives, half of the jobs created in May are in the recreation, restaurant and hospitality industries.

The United States continues to recover the jobs lost since the start of the pandemic, but this recovery is slower than in Canada. 7.6 million jobs are still missing to return to the level of February 2020. In other words, only 65.9% of the jobs lost in March and April 2020 were found. Despite the high number of unemployed, some employers are struggling to recruit because of continuing health concerns and government assistance measures.

As in Canada, the US central bank is waiting for further improvement in the labor market before starting an interest rate hike.

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