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Thursday March 29, 2018

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Human Resources

Payroll employment, earnings and hours, January 2018

Average weekly earnings of non-farm payroll employees were $996 in January, little changed from the previous month. Earnings were up 3.2% compared with January 2017, largely the result of gains in the second half of 2017.

In general, changes in weekly earnings reflect a number of factors, including wage growth, changes in the composition of employment by industry, occupation and level of job experience, and average hours worked per week.

Non-farm payroll employees worked an average of 32.7 hours per week in January, down from 32.8 in December 2017 and unchanged from 12 months earlier.

Average weekly earnings by sector

Compared with January 2017, average weekly earnings increased in 7 of the 10 largest industrial sectors, led by accommodation and food services. At the same time, earnings declined in manufacturing and were little changed in construction and in administrative and support services.

In accommodation and food services, average weekly earnings rose 8.2% to $399. Earnings in this sector have been on an upward trend since March 2017. This coincides with notable provincial minimum wage increases in Alberta (October 2017) and Ontario (January 2018). Full-service restaurants and limited-service eating places accounted for the bulk of the increase. Ontario, British Columbia and Quebec contributed the most to the year-over-year earnings growth in the sector.

Among employees in public administration, average weekly earnings increased 4.5% to $1,303, driven by gains in local, municipal and regional, as well as provincial and territorial public administration. Ontario contributed the most to the rise.

In wholesale trade, earnings grew 3.4% to an average of $1,220 per week. Gains were mostly attributable to machinery, equipment and supplies wholesalers, which has been the largest contributor to year-over-year increases in this sector since March 2017. The earnings gains in the sector were largely the result of increases in Quebec, Alberta and British Columbia.

For retail trade employees, average weekly earnings rose 3.1% to $576, with most of the growth occurring in the second half of 2017. Increases were spread across a number of subsectors, with building material and garden equipment and supplies dealers, as well as clothing and clothing accessories stores contributing the most to the rise. Ontario and British Columbia accounted for the majority of the year-over-year earnings growth in the sector.

In professional, scientific and technical services, earnings were up 2.9% to an average of $1,357 per week. The rise in earnings was driven by computer systems design and related services, which has been the largest contributor to earnings growth in the sector since September 2017. Among the provinces, Saskatchewan and Nova Scotia had the largest increases.

Average weekly earnings in educational services grew 1.9% to $1,054, driven by gains in elementary and secondary schools, as well as community colleges and CEGEPs. Ontario and Quebec contributed the most to the rise.

In health care and social assistance, earnings rose 1.7% to $900. Hospitals had the largest earnings growth. Quebec, Alberta and British Columbia contributed the most to the earnings increase in the sector.

Among the smaller industrial sectors, average weekly earnings in finance and insurance rose 9.1% to $1,402. This sector has been on an upward trend since August 2017 and was one of the largest contributors to the national earnings increase in January 2018.

In contrast, average weekly earnings in manufacturing fell 1.7% to $1,091. Among the provinces, Alberta and New Brunswick had the largest decreases in this sector.

Average weekly earnings by province

In the 12 months to January, average weekly earnings of non-farm payroll employees increased in eight provinces, led by Quebec. At the same time, earnings were little changed in Nova Scotia and Newfoundland and Labrador.

In Quebec, average weekly earnings rose 3.9% to $924, with the majority of the gains occurring in the second half of 2017. The growth was spread across a number of sectors, and the largest contributors were health care and social assistance; professional, scientific and technical services; and public administration.

Earnings in British Columbia grew 3.3% to an average of $961 per week. Earnings increased in a number of sectors, and the largest contributors were health care and social assistance; construction; and accommodation and food services. At the same time, a notable decline in administrative and support services moderated the overall earnings increase in the province.

Average weekly earnings in Ontario increased 3.1% to $1,015, with finance and insurance; public administration; and professional, scientific and technical services contributing the most to the rise.

For payroll employees in Alberta, average weekly earnings were up 3.1% to $1,147. The growth was spread across a number of sectors, including mining, quarrying, and oil and gas extraction, as well as health care and social assistance. The increase was partly offset by a notable decline in administrative and support services. The earnings increase in Alberta's mining, quarrying, and oil and gas extraction sector was due in part to earnings in the sector being at a relatively low point in January 2017.

Earnings in Manitoba rose 3.0% to an average of $926 per week. The growth was spread across most sectors. Earnings in the province have been on an upward trend since July 2017.

In New Brunswick, average weekly earnings were up 2.8% to $908, with finance and insurance; administrative and support services; and construction contributing the most to the increase.

Average weekly earnings in Prince Edward Island grew 2.0% to $839, with notable gains in educational services as well as in administrative and support services. The overall growth in the province was tempered by a notable decrease in health care and social assistance.

Among payroll employees in Saskatchewan, average weekly earnings were up 1.7% to $1,029. The largest contributors were public administration, as well as mining, quarrying and oil and gas extraction. At the same time, notable declines in health care and social assistance, as well as in transportation and warehousing moderated the overall increase in the province.

Non-farm payroll employment by sector

The number of non-farm payroll employees was little changed in January from the previous month. However, the number of payroll jobs increased markedly in administrative and support services and in manufacturing. At the same time, payroll employment decreased notably in retail trade and in construction.

Compared with January 2017, the number of payroll employees rose by 357,300 (+2.2%), with most of the increase occurring during the second and third quarters of 2017. Increases were observed across the majority of the sectors, led by health care and social assistance (+45,000 or +2.4%) and educational services (+43,600 or +3.5%).

On a year-over-year basis, the number of payroll jobs also increased notably in manufacturing (+33,800 or +2.3%); professional, scientific and technical services (+31,500 or +3.6%); and public administration (+30,900 or +2.9%). At the same time, a notable decrease was observed in information and cultural industries (-6,000 or -1.7%).



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