Hiring outlook mixed

Canadian employers expect a limited hiring climate for the first quarter of 2006, according to the Manpower Employment Outlook Survey

The survey, which is conducted quarterly to measure employers’ intentions to increase or decrease the number of employees in their workforce during the next quarter. reveals that 17% plan to increase their payrolls while 15% anticipate cutbacks, for a net employment outlook of 2%. Of the 1,700 employers polled, 65% expect no changes and 3% are unsure of their staffing intentions.

With seasonal variations removed, the net employment outlook of 17% is a 3% decrease from the previous quarter; however, hiring expectations continue to be respectable for the first quarter of 2006.

“This quarter’s net employment outlook indicates a subdued hiring forecast and is the lowest since the first quarter of 2004 when it was 1%,” says Lori Procher, spokesperson for Manpower Canada. “The seasonally adjusted net employment outlook is the lowest since the fourth quarter of 2004; however, the first quarter of the year is normally a restrictive hiring period.”

“Three of the four regional projections are in line with the national net employment outlook,” Procher adds. “Quebec employers reported a net employment outlook of 3%. Atlantic Canada employers also anticipate a flat hiring climate with a net employment outlook of 2%, while Ontario employers expect a disappointing hiring climate for the beginning of the year with a net employment outlook of minus 3%. Employers in Western Canada predict above-average results for this time of year with a reported net employment outlook of 17%.”

Of the 10 surveyed industry sectors, Mining employers report the most vigorous results for the first three months of 2006 when seasonal variations are removed, with a net employment outlook of 50%. Employers in the Services and Public Administration sectors anticipate a healthy quarter with respective Net employment outlooks of 27 and 22%.

Construction
Employers in the Construction sector expect a hopeful hiring pace with a seasonally adjusted net employment outlook of 17%. This is a significant decrease of 15% from the previous quarter and a 4% decrease compared to this time last year.

Education
Education sector employers predict a modest quarter with a seasonally adjusted net employment outlook of 5%. This is a 9% decrease from the previous quarter.

Finance, insurance & real estate
Employers in the Finance, Insurance & Real Estate sector project a steady hiring climate with a seasonally adjusted net employment outlook of 16%. This net employment outlook is a 2% increase from the previous quarter.

Manufacturing – durable goods
A moderate three-month period is anticipated by employers in the Manufacturing – Durable Goods sector, where a net employment outlook of 6% is reported, once seasonal variations are removed. This net employment outlook is a decrease of 7% from the previous quarter.

Manufacturing – non-durable goods
Manufacturing – Non-durable Goods sector employers project a positive hiring climate with a seasonally adjusted net employment outlook of 13%. This is equal to the net employment outlook reported this time last year.

Mining
Employers in the Mining sector anticipate a vigorous first quarter with a net employment outlook of 50% once seasonal variations are removed. This is the most optimistic outlook on record for this sector.

Public administration
Public Administration sector employers predict a solid hiring climate with a net employment outlook of 22%. Hiring expectations increased by 6% from a year ago.

Services
Employers in the Services sector expect an optimistic hiring climate for the upcoming quarter with a seasonally adjusted net employment outlook of 27%. This is the most optimistic outlook for the sector since the second quarter of 1989.

Transportation & public utilities
Employers in the Transportation & Public Utilities sector predict a positive outlook with a seasonally adjusted net employment outlook of 17%. This is a 2% increase from the same time last year.

Wholesale & retail trades
Employers in the Wholesale & Retail Trade sector project a hopeful staffing picture for the first quarter of 2006, with a net employment outlook of 16%. Results for the sector decreased by 10% compared to this time last year. This is the least optimistic outlook for the sector since the first quarter of 2003.