Monday, June 08, 2009

Jobless rate high but low. It's all perspective.

Today headlines screamed "Edmonton Jobless rate a 12-year high" the jobless rate is almost double what it was last year this time at 6.6%. This is due to summer job seeking students and possibly an influx of new Albertans looking for work in what many think is the best place in Canada to get a job.

"The sharply rising labour market is a reflection that Alberta is still enjoying an inflow of interprovincial migrants. Canadians from other provinces are still regarding Alberta as one of the better places in the country to be looking for work." ATB Financial senior economist Todd Hirsch

However, this seemingly scary number is actually a recognized indicator that the recession may be coming to an end.

"The job market is a lagging indicator, and history tells us that the peak of job losses typically corresponds to the official end of a recession. Judging by that, we are increasingly hopeful that Canada and Alberta have already turned the corner on this nasty recession."

It's interesting to note that although Alberta's jobless rate is at a 12-year high it is still the third lowest in Canada. Proving that it's all how you look at it.

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