January 10, 2003

Industry, Trade and Mines Minister MaryAnn Mihychuk today welcomed the release of new labour market information that she said shows that the strength of the Manitoba economy has resulted in the lowest unemployment rate in the country for 2002.

The labour force information released today indicates that for the month of December 2002, Manitoba's unemployment rate dropped from 5.4 per cent in November to five per cent in December, resulting in Manitoba having the lowest rate in the country.

Mihychuk noted that Manitoba's annual unemployment rate for 2002 was 5.2 per cent which was the lowest in Canada followed by Alberta at 5.3 per cent and Saskatchewan at 5.7 per cent.

"We are pleased with the overall performance of the Manitoba economy during 2002," said Mihychuk. "The positive employment figures for December help to cap off a strong year for overall job creation."

In December, there was an increase in full-time employment by 3,800 while part-time employment decreased by 1,400. As a result, Manitoba experienced an overall employment increase of 2,400.

For 2002, the Manitoba economy created approximately 9,000 new jobs, resulting in an all-time high for total employment in the province of almost 567,000. Mihychuk noted that 80 per cent of Manitoba job gains in 2002 were achieved in the private sector.

Mihychuk said that she was particularly encouraged by the youth unemployment rate which was also the lowest in the country in 2002 and 3.3 per cent below the national average at 10.3 per cent.

"Our government is committed to making Manitoba an attractive place for young Manitobans," said Mihychuk. "By fostering a strong economy that provides employment opportunities for young people, we are sending a strong signal that Manitoba is well-positioned for the future."

Mihychuk noted that for the first time in nearly five years, Moody's Investor Service recently upgraded Manitoba's debt rating from Aa3 to Aa2, largely as a result of the province's efforts to reduce its consolidated debt and pay down other liabilities, including a comprehensive plan to pay down the province's unfunded pension liabilities. As a result, Manitoba's debt rating is tied for the second highest with Ontario and British Columbia, and just behind Alberta.

"Today's labour market information and Moody's recent decision to upgrade the province bodes well for Manitoba's future economic prospects," said Mihychuk.

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