Following five consecutive monthly declines, British Columbia employment grew for the first time in October with an increase of 8,300 people (up 0.3 per cent). Despite the monthly gain, year-over-year growth was a muted 0.6 per cent and was below a national performance of 1.5 per cent, pointing to subdued economic activity in the province. ÎÚÑ»´«Ã½’s unemployment rate dropped 0.2 points to 5.8 per cent as the labour force expanded slightly in October (up 0.1 per cent) owing in part to lower labour force participation, which slipped to a rate of 63.7 per cent from 63.8 per cent. The working age population grew 0.2 per cent.
Growth in part-time employment led the overall employment gains in October. Full-time employment was unchanged following a decrease during the previous month. Part-time employment grew 1.4 per cent or by 8,000 people. The Vancouver census metropolitan area (CMA) saw a 1.2-per-cent increase in its employment level, while the unemployment rate fell to 6.2 per cent from the 6.7 per cent recorded in September. During the same month last year, Vancouver CMA’s unemployment rate level was at 5.8 per cent.
By sector, services-producing industries led the increase in employment in October with a one-per-cent gain, offsetting the 2.7-per-cent decline seen across goods-producing industries. The construction sector led the monthly decrease with a drop of 3.8 per cent (down 9,200 people), along with a 3.8-per-cent decline (down 9,200 people) in the manufacturing sector. The business, building and other support services sector reported a large increase in hiring in October, up by 10,100 people or 11.5 per cent. Notable hiring growth was also seen in sectors such as accommodation and food services (up 5.2 per cent or by 9,200 people). The increases were partially offset by employment declines in sectors such as transportation and warehousing (down 5,800 people or by 3.9 per cent).
ÎÚÑ»´«Ã½’s merchandise exports rose in September after a flat August. Exports rose 6.4 per cent to $4.7 billion on a month-to-month basis. On the other hand, ÎÚÑ»´«Ã½ saw a lower volume of imports for September, falling 9.7 per cent to $6.3 billion. As a result, the trade deficit for the month was $1.6 billion—down from last month’s revised number of $2.6 billion. Overall, exports for the last 12 months are down 3.4 per cent compared to the previous 12-month period, while imports are down 3.6 per cent. Year to date, exports have fallen 2.5 per cent while imports have declined by 1.6 per cent.
The monthly increase in exports was seen in five out of 11 categories. Key drivers of the latest increase include metal ores and non-metallic minerals, which was by far the largest contributor—up 82.2 per cent to $640 million—alongside notable gains in energy products (3.3 per cent to $1.3 billion), and higher electronic and parts sales. Despite the monthly increase, exports are below a year ago owing to a sharp decline in energy product exports (down 15.9 per cent). This was only partly offset by growth in metal ore and non-metallic minerals (up 18 per cent), forestry products and building and packaging materials (up 3.4 per cent) and electronic and electrical equipment and parts (up 8.1 per cent). Base period effects of year-ago weakness, particularly in the forestry sector, were a factor propelling some of the gains.
Bryan Yu is chief economist at Central 1
