August 2009 Labour Force Survey Highlights

September 10 2009

· The overall unemployment rate in the tourism sector was 7.5% in August 2009, below the national average of 8.7%.

· Since October 2008, overall employment in Canada has declined by 387,000 jobs. However, more than 92% of these jobs were lost between November and March. Over the past five months, employment has fallen by just 31,000 jobs.

· Notwithstanding this positive trend, the 2009 summer labour market was one of the most challenging for students aged 15 to 24. Their average unemployment rate reached 19.2% over the summer months, the second highest rate since comparable data became available in 1977.

· Within the tourism industry groups, the food and beverage services labour force saw the highest level of unemployment in August (9.0%), though employment within “drinking places” was up slightly compared to the same month last year. With an unemployment rate of 7.6%, the accommodations industry group also continues to be affected by job losses.

· Employment within the recreation & entertainment industry group performed fairly well in August. While the monthly unemployment rate was 5.0%, this was just half a percentage point higher than the rate seen in August 2008. Furthermore, the unemployment rates reported for the labour force in many of the individual recreation and entertainment industries were lower in August 2009 than in August 2008.

· On a regional basis, the tourism labour forces in Ontario and Quebec experienced higher proportions of unemployment compared to other areas of the country. This can be partially explained by the size of the tourism sector in these regions, but also by reduced tourism spending in these areas as a result of broader economic challenges in the provincial manufacturing, construction, and automotive industries.

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