Chapter 5 - Unemployment Rates

   I recently read an article that stated the recent unemployment rates in Canada. As of February 4 2011, Statistics Canada claimed that the unemployment rate here in Canada rose to 7.8%. Although employment itself increased by 1.9% since January 2010, it is obvious that it is still nowhere near acceptable. In fact, according to this article, the only provinces whose employment increased are; Ontario, Alberta, Nova Scotia, Newfoundland and Labrador, Manitoba and Prince Edward Island. That means that British Columbia is in serious trouble-our employment hasn't even increased in about a year! That's a long time for people seriously looking for work.

  The Working with Economics textbook states that unemployment is only considered when it is done involuntarily. That means the unemployed people here in Canada did not lose their jobs because they were bad at their job. It doesn't even mean that they decided to quit their jobs out of choice. People here in Canada are most often unemployed because they have been layed off. There are many different types of unemployment. They are; demand-deficient unemployment, frictional unemployment, seasonal unemployment, structural unemployment, insurance-induced unemployment, and natural rate of unemployment.

  While there are all sorts of ways of getting fired, the result is still the same. I can understand if a company fires an individual because they went against company policy. However, if so many companies are laying off people simply because they cannot afford to pay them their wages, the government should take initiative. Ken Georgetti, president of the Canadian Labour Congress encourages the government to "use the March budget to help job seekers" (paragraph 4). I agree with Ken Georgetti's idea. Surely our Federal Government is able to do something to help its people find decent jobs.

Link: http://www.hrmguide.net/canada/jobmarket/canadian-unemployment.htm