Minimum-Wage Massacre: Canadian Part-Time Jobs Crash Most In History

The Canadian job market has never lost more part-time jobs - ever - than in January...

Canada's unemployment rate rose to 5.9% as total job losses for January dropped the most since 2009, but it was the 137,000 collapse in part-time jobs that stands out.

So what is driving this collapse?

Simple - Minimum Wage Hikes In Ontario.

Ontario raised the minimum wage 21 percent to C$14 ($11.26), making it the highest in Canada.

And as Reuters reports, the steep minimum wage increase that went into effect on Jan. 1 in Ontario, Canada’s most populous province, has had a rocky start as some employers cut workers’ hours and benefits to reduce its impact on the bottom line.

The provincial government, controlled by the Ontario Liberal Party, positioned it as a measure to improve the livelihood of workers in Ontario, home to the nation’s largest city, Toronto, and its capital, Ottawa.

Yet some employers responded by implementing hiring freezes, cutting hours of existing workers, eliminating paid breaks and boosting benefits costs.

Shocker - sending minimum wage costs soaring leads to less demand for low-skill employees?

Will they never learn?

Of course, some see a silver lining as average hourly earnings jumped 3.3% (vs 2.9% previous month) thanks to the min wage hike, the fastest pace since 2015.

But, it appears the minimum wage hike has sent more people 'out' of the work force as the participation rate plunges to its lowest since 1999...

 

As a reminder, The Bank of Canada hiked 'dovishly' in January...

The BOC also noted that "while the economic outlook is expected to warrant higher interest rates over time, some continued monetary policy accommodation will likely be needed to keep the economy operating close to potential and inflation on target."

We suspect that hike-trajectory may slow.

The reaction in the Loonie is quite chaotic...

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Comments

skbull44 Déjà view Fri, 02/09/2018 - 08:58 Permalink

Ontario's minimum wage hike is pure electioneering by a corrupt and useless provincial government. It has spun the narrative repeatedly (and so has the complicit and compliant mainstream media) that this shift is nothing but positive for workers and all Ontario citizens. As with most government-spun marketing, the evidence that there would be negative repercussions was kept well-hidden and ignored. My youngest daughter's employer made clear to their employees that in addition to consumer price increases for products and services, the wage hike would bring reduced hours and possible lay-offs; and that's exactly what happened. And there's another hike at the start of next year...will our criminal class (i.e. politicians) never learn? (yes, that's a rhetorical question)

 

https://olduvai.ca

In reply to by Déjà view

skbull44 asteroids Fri, 02/09/2018 - 09:20 Permalink

Yes, what I love is their constant manipulation of the consumer price index. Anyone who actually has to pay bills knows that consumer price increases have FAR outpaced wage increases by a magnitude probably larger than 3x...this past week I experienced a 1.6% CPI-indexed pension increase, a 3% hike in municipal taxes, 4.6% in physiotherapy fees, and 13.2% in chiropractic fees (yes, I shouldn't still be playing hockey at my age)...

 

https://olduvai.ca

In reply to by asteroids

wdg skbull44 Fri, 02/09/2018 - 09:53 Permalink

The real CPI is 6-8%, not 1.6% put out by Junk Stats Canada, which means the CPI is rigged lower by a factor of 3 to 4 times the real index. This is fraud and plunder of pensions, salaries and savings on a massive scale by the Government of Canada so that we can transfer $30 billion net (after taxes) each year to immigrants that we don't want or do not need. 

In reply to by skbull44

skbull44 Theosebes Goodfellow Fri, 02/09/2018 - 10:21 Permalink

While I understand the sentiment, sweeping us all with a broad brush is misguided. We all did not vote for this Liberal government--just as I know not all Americans vote for their particular 'leader' every election so I hold no ill-will towards those suffering from the insanity of their leader at a particular time. In fact, I haven't voted for years, believing that the gesture is purely symbolic (and meaningless), serving more to propagate the myth of representative democracy and choice, and to encourage and enable the continued pillaging by the criminal class we call politicians.

 

In reply to by Theosebes Goodfellow

Theosebes Goodfellow skbull44 Fri, 02/09/2018 - 17:27 Permalink

you're right, SK. Apologies to you and Northern Vigor, (below), and all of the other Canadian conservatives saddled with Trudeau and his ilk. I did allow my sentiments to get the better of me. It isn't like your southern neighbors are bereft of leftists drinking koolaid. we endured 8 years of the biggest Marxist our nation has ever seen and his followers still haven't come to terms with the fact the man orchestrated criminal acts against his fellow citizens simply because they did not vote for him or cater to his statist ways.

Hang tough, Oh Canada. This too shall pass.

In reply to by skbull44

northern vigor Theosebes Goodfellow Fri, 02/09/2018 - 10:25 Permalink

I'm not sure we did elect him...I haven't heard anyone admit to doing it.
The polls close at 8:00 est in Quebec and Ontario, where 65% of the seats are. Every ballot here is paper and has to be counted twice, with the results sent to Election Canada where they tabulate  the ridings and then send the info to the media. At 8:10 est time the CBC announced a majority win for the Trudeau Liberals.How in the hell did they do that in ten minutes?
 One thing I do know...Obama's buddies were up here screwing around, helping the Liberals for a year before the election. 

In reply to by Theosebes Goodfellow

Bic Theosebes Goodfellow Fri, 02/09/2018 - 10:49 Permalink

Did the people elect pajama boy or are their elections just as rigged as ours?  Looks like our southern border isn't the only one we have to worry about.  The cuck Trudeau is flooding Canada with muzzies.  Do you think it's a coincidence that our most infamous muzzie enclaves are in Dearborn, MI and Lakawanna, NY?  Right next to international bridges.

In reply to by Theosebes Goodfellow

afronaut Bic Fri, 02/09/2018 - 11:43 Permalink

And blacks. Where I live I have never seen blacks until faggot got elected. Now I see them all the time. They look like they come from the hut dwelling villiages of Africa. Black as coal. No way that these people work or contribute to the economy. They are way too freaky looking. So what are they doing here? I'm in the bible belt. Was predominantly white/Christian. They are being placed in this area to displace white Christians. The whole country is a fucking mess now. And no party in the next election looks like they want to change that. Conservatives in Canaduh pander to the most left leaning. Big mistake. If we had one candidate running on a Canaduh first platform, they would win, no problem. Trouble is Canadians (men) are chicken shit cowards. 8x out of 10. Just like swedes. Ive given up on voting as well. I may sit out the next election and watch poolside as the country goes down the tubes, and whitey cuts his own throat. 

In reply to by Bic

hazardfish Theosebes Goodfellow Fri, 02/09/2018 - 13:15 Permalink

Exactly. I'm Canadian, but people here are stupid, they let their feelings own them, feel feel feel, that's all Canadians do. They think like Democrats in the US, don't want to hurt anyones feelings and they vilify the conservatives just like in the US. Sadly our tv is your tv, and so 90% of the population is down right stupid and unaware how close we are to becoming Venezuela. I do hope Canada takes a massive fall, it's the only thing that will bring back conservative think in this country. There is never another way, that's how the system works. 

In reply to by Theosebes Goodfellow

SRV asteroids Fri, 02/09/2018 - 14:44 Permalink

They learned that from the Toronto Real Estate Board... maybe the least transparent in the world.

Suing the Ontario government for a simple improvement in Listing info... we get nothing, not even days on the market, and they got away with blind auctions that drove up prices to insane levels, and that just scratches the surface of corruption (they own the media as well)!

In reply to by asteroids

crazzziecanuck skbull44 Fri, 02/09/2018 - 09:11 Permalink

It seems more of a slowdown in Toronto real estate, I would guess.  Fewer "part time" contractors being hired to do, say, fit and finish and so on.  Suspecting this is just another indicator that the real estate bubble may be popping.

Other provinces raised their minimum wage levels and not seen the same sort of MoM declines.  

In reply to by skbull44

skbull44 crazzziecanuck Fri, 02/09/2018 - 09:16 Permalink

What you suggest is certainly a part of the issue. In the local region I live, the housing market appears to have completely tanked. Where we witnessed homes going on the market and selling at a crazy pace last summer, there is barely any movement of homes going to market and those that were selling have been removed or are still on the market, months after listing. The brakes have been applied big time--guess those hot money flows from China have dried up (yes, anecdotally, I can attest to the fact that most (all?) sales in our GTA location were to wealthy Chinese immigrants.)

In reply to by crazzziecanuck

AlphaSeraph crazzziecanuck Fri, 02/09/2018 - 09:46 Permalink

I have lived in the greater Toronto area my entire life. There's been a Sobey's (grocery store) on the corner near where I grew up for about 20 years. Since it was it was opened it has been a 24 hour a day store only closing on statutory holidays. Can you guess when the store hours were slashed to 7am to 11pm (the entire night shift gone) and staff hours chopped to pieces (and some outright fired)? You got it, a couple of weeks ago after the 23% wage increase for their staff.

Kathleen Wynn was warned for 2 years this would happen and now she's blaming greeeeedy bUzINESesssss.

She's a corrupt, filthy commie. After the Liberals have massively bungled our power grip they recently started paying 8% of peoples electricity bills and hiking minimum wages...all to buy off voters.

I also have a sneaking suspicion that the sudden and **well timed** allegations against her Conservative opponent about his apparent sexual misconduct is fishy considering there's an election in 6 months, the conservatives look strong with regard to upending the Libs for the first time in a generation and now the party is scrambling to find a leader 6 months out. He flat out denies the allegations and said he would fight it in court if he had to. To the Libs, it doesn't matter, he stepped down and the conservatives are reeling.

The Liberal Party in Ontario is a disgusting cesspool of corrupt Marxists who have been destroying this province for a while.

In reply to by crazzziecanuck

Jessica6 AlphaSeraph Fri, 02/09/2018 - 09:54 Permalink

Don't know if it is true or not, but supposedly the accuser had taken courses about weaponizing feminism for political aims. She was also personal friends with the 'reporter' who 'broke' the story.

So what are we going to get now, a Mulroney offspring, or another fat Ford? 

Funny how putting more money into people's pockets NEVER involves a tax cut.

In reply to by AlphaSeraph

Jessica6 AlphaSeraph Fri, 02/09/2018 - 10:13 Permalink

Worst of all was that it was his own staffers who turned on him. This will now be the third election in a row where the Tories have essentially thrown it in favor of the liberals. John Tory with creationism in schools on the eve of the election (in hindsight, preferable to My Dad's Roommate and The Sissy Duck), then Tim Hudak wanting to cut 100K government jobs (seriously, he couldn't keep the number to himself until after the election?). Go to any political function, though, and both parties are funded by the exact same people.

In reply to by AlphaSeraph

mpnut skbull44 Fri, 02/09/2018 - 11:35 Permalink

They will be producing more Criminal Class..  Those who do not have will result to doing what is necessary... I live in a nice part of the city here in Toronto, but I am not holding my breath that crime rates will go down. We have had the worst 2 years of crime rates and where do they think its coming from, and add the influx of Refugees that Trudeau allowed in without any skills or background to help them succeed in a new country. 

In reply to by skbull44

Northern Flicker Déjà view Fri, 02/09/2018 - 10:10 Permalink

Ontario once had the envious position as Canada's industrial heartland and one of the most productive places on the planet. The Liberal government threw it away by investing public dollars in green power so they could walk around the UN like peacocks.  Now that the cost of energy has doubled, firms are jumping ship.  NY State can buy power from Quebec at about 1/2 the cost of Ontario. 

In reply to by Déjà view

Herdee Fri, 02/09/2018 - 08:52 Permalink

A lot of nervousness in Canada to do with NAFTA as well creating uncertainty in the currency. Interprovincial trade barriers are also causing problems.

Déjà view Herdee Fri, 02/09/2018 - 09:25 Permalink

U.S. sneezes...Canesestan catches a cold...

According to Trevor Tombe, a University of Calgary economist, there are in fact only two American states out of 50 – Michigan and Vermont – where trade with Canada exceeds 10 per cent of their annual economic output.

By comparison, Canada's provinces are in large part overwhelmingly dependent on keeping the borders open with the U.S. Forty-nine per cent of Ontario's gross domestic product depends on trade with the United States. For Quebec, that number is 23 per cent. For Alberta, it's 31 per cent.

https://www.theglobeandmail.com/news/politics/how-much-trade-leverage-d…

In reply to by Herdee

Savvy Déjà view Fri, 02/09/2018 - 11:00 Permalink

That's one way of putting it. Another would be Canada's pop. and economy is 10% of the US's. On that scale we're equal. We already buy more of what the US produces than any other country ($300b). Mexico, US's second largest trade partner, has three times Canada's pop and buys $226b. Third largest, China with over a trillion pop. spends $122b on US goods.

So when you ZHers smear Canada with such glee you're smearing your biggest customer. Smrt.

In reply to by Déjà view

wmbz Fri, 02/09/2018 - 08:53 Permalink

Simple solution for the "peoplekind" in Canada, just raise the minimum wage to $50.00 dollars, that would fix it... Right?

We should do this in the U.S.of A. also! 

Laowei Gweilo wmbz Fri, 02/09/2018 - 09:33 Permalink

I watch some of the Olympics opening ceremony and there was this same peoplekind bullshit

CBC Sports: "For the first time, Canada has a '1 Woman, 1 Man, Equal' Flag Bearers

or, 'Finally, the ratio of women to men at the Olmypics is almost equal -- it took us long enough. I think this will be a theme of the games'

 

gawd I almost closed the stream just to stop listening to the retard commentator

 

HEY RETARD ITS FLAG BEARER

NOT PLURAL

LEMME GUESS ... TRUDEAU'S IDEA?!

go look through a list of historic flag bearers and see how basically NO ONE DOES THAT

but here comes Canada breaking important PEOPLEKIND NORMS like have FLAG BEARER EQUALITY

 

Trudeau 2019. Such a bitch.

In reply to by wmbz