Pre-recessional job levels likely in three months-TD

Canada, 2nd February: Jobs in Canada are likely to return to their pre-recession levels in a matter of around three months, reveals a latest report from TD Economics.

Earlier, it was thought that the jobs in Canada have already reached their pre-recession levels.

However, as per the latest data, Canada is still around 30,000 jobs short of the levels witnessed before the global economic crisis engulfed the nation.

The Canadian province British Columbia (B.C.) has been added to the list of other provinces whose employment levels have returned to pre-recession following recovery of all the jobs lost during the economic downturn.

Meanwhile, the Canadian provinces of New Brunswick, Nova Scotia, Alberta and Ontario are see their employment levels return to pre-recession.

As per economist Sonya Gulati, the economy of Canada is expected to return to its pre-recession employment levels within a span of coming three months. This is likely as the nation expects to have between 15,000 and 20,000 new jobs each month, added Gulati.

She maintained that the Canadian labor market will take somewhat more time to heal broadly. Total number of jobs lost between October 2008 and July 2009 was 428,000.

However, by December 2010, Canada had regained a total of 398,000 jobs. In the year 2010 itself, a total of 298,000 jobs were created in Canada and this happens to be the best performance by Canada economy since the year 2007 when economic recession made its appearance.

Meanwhile, such gains in jobs are strong enough for Mark Carney, the Bank of Canada governor, to change his decision regarding rate increase likely in the second half of the year, stated, chief macro strategist at TD Securities, David Tulk.

Findings of the labor market survey for the month of January will be released by Statistics Canada this Friday. And, as per the consensus estimates, the survey is expected to reveal a net gain of around 21,200 jobs in Canada.

Deputy chief economist at BMP Capital Markets, Douglas Porter stated that the economy is expected to add around 15,000 jobs every month in the year 2011. And the rate of joblessness in Canada is likely to stay stable at 7.6 percent and to go down to 7.3 percent towards the year-end, he added.