November 05, 2004
Industry, Economic Development and Mines Minister Jim Rondeau today welcomed Statistics Canada’s labour force statistics showing 1,200 new jobs were created in Manitoba during the month of October.
"With this being the third consecutive month of employment gains, we are seeing a positive trend that has resulted in 8,200 new jobs," Rondeau said.
Manitoba saw employment growth of 1.5 per cent compared to Canada’s 1.2 per cent over the first 10 months of 2004. Since the start of the year, Manitoba labour force growth has also increased considerably more than the national level at 1.6 per cent compared to 0.9 per cent. During October 2004, total employment rose 0.2 per cent from 577,800 to 579,000 at the same rate as the national level.
The new labour force statistics indicate Manitoba still has the second lowest unemployment rate in the country at 5.1 per cent. This is two points below the national rate of 7.1 per cent. Manitoba’s youth unemployment rate was the third lowest in the country at 11.8 per cent and well below the national rate of 13.4 per cent.
"Today’s numbers build upon Manitoba’s economic performance in 2004. Growth in average weekly earnings, housing starts, exports, investment, manufacturing shipments and the reduction in consumer and business bankruptcies is considerably higher in Manitoba," Rondeau said.
Manitoba also recorded the largest increase in building permits in Canada between September 2003 and September 2004 at a rate of 43.2 per cent. Statistics Canada notes an increased demand for commercial permits, especially for laboratories and office buildings.
"These building intentions and other construction projects currently underway will continue to grow our economy and increase employment opportunities for Manitobans," Rondeau said.
- 30 -
BACKGROUND INFORMATION
AMONG MANITOBA’S ECONOMIC HIGHLIGHTS THIS YEAR:
Manitoba's 2004 unemployment rate has been the second best in Canada at 5.3 per cent, well below the national rate of 7.3 per cent (Statistics Canada).
Since 2000, an average of 6,540 jobs have been created in Manitoba each year, more than double the annual average created from 1989-99 (3,182). Eighty per cent of the 33,000 jobs that have been created since 1999 have been full-time jobs (Statistics Canada).
Manitoba’s population grew by 8,716 over the past year, the best absolute and percentage growth since 1986 (Statistics Canada). This population growth has led to increased expenditures on consumer goods and services, and housing.
So far in 2004, average weekly earnings have increased by 4.9 per cent in Manitoba, more than double the 1.7 per cent increase in Canada as a whole and more than triple the 1.5 per cent rate of inflation so far in 2004.
"Manitoba is expected to post another solid year of economic growth next year despite the Canadian dollar climbing to heights that haven’t been seen in more than a decade, according to the latest forecast from Scotiabank Economics." ("Solid growth predicted for Manitoba: Bank expects manufacturing will lead way despite strong loonie," Winnipeg Free Press, Oct. 21, 2004.)
Manitoba’s population grew by 2,766 in the second quarter of 2004 including a net inflow to Manitoba from other provinces and countries of 1,822, the best overall quarterly population gain since the early 1980s and the best quarterly net in-migration in three decades (Statistics Canada).
According to the Canada West Foundation, in August 2004, Manitoba "manufacturers reported record high shipments of $1.1 billion, up 6.6 per cent from July and 16 per cent from August 2003." ("Strength in Diversity: Manitoba’s economic prospects into 2005" by Todd Hirsch.)
In 2004, Statistics Canada projects that Manitoba will post a 5.4 per cent increase in capital investment, more than the 3.1 per cent expected for Canada. Both public and private investment are expected to be above the national average.
Both Moody’s (January 2003) and Dominion Bond Rating Service (September 2003) have upgraded Manitoba’s credit rating in the past two years mostly due to accelerated debt repayment. Dominion Bond Rating Service cited Manitoba’s "sharply improved debt-to-GDP ratio that fell from a peak of 47.8 per cent in 1995 to 34.5 per cent on March 31, 2003."
Manitoba credit ratings are among the best in Canada: second (Moody’s); third (Standard and Poors); and fourth (Dominion Bond Rating Service).
Since 1999, the Manitoba government has transferred $478 million into the Debt Retirement Fund to pay down general purpose debt and pension liabilities, $178 million more than the five previous budgets.
According to the Institute of Chartered Accountants of Manitoba, Manitoba’s rate of patent registration increased by 81 per cent over the past five years, by far the best in Canada. B.C. was second best with a 65 per cent increase. The rate of patent registration is a good indicator of future growth prospects as it reflects the pace of innovation.
A Manitoba Bureau of Statistics report released this week indicates gross domestic product (GDP) growth of three per cent. This is above the expected Canadian growth rate of 2.9 per cent and an increase over the 1.4 per cent growth of 2003.
To read more about Manitoba’s economic strategy, please see:
RETURN