Eagle Vision Quarterly Newsletter

December 2009

Richard Simms
President, Black Eagle Executive Search

It is probably not an understatement to say that most of us will be glad to close the book on 2009 from an economic point of view and look for brighter prospects in 2010!

 

In the last quarter of 2009, however, we are definitely starting to see signs of economic recovery in the Canadian economy. Statistics Canada reported on December 4th that in November 2009, employment increased by 79,000 jobs and the unemployment rate fell from 8.6% in October to 8.5%. The number of full time jobs increased by 39,000 and part-time employment by 40,000.

 

As further reported in the Globe and Mail’s December 23rd edition:

“The biggest shift out of layoff mode has come from manufacturing, particularly auto parts companies, Statistics Canada payrolls data from June to October show..It’s a bright sign for the troubled manufacturing sector, hit first by a strong dollar and then the recession. Export-sensitive industries reeled from last year’s collapse of global trade, and any improvement in the factory sector would mean much for an economy that has been lifted so far by the services sector…. Hiring is growing to build highways, streets, and bridges as stimulus spending kicks in..Non-farm payroll employment has risen by 4200 jobs a month since June, a far cry from the average monthly loss of 51,200 jobs in the first eight months of the recession. Infrastructure spending will mean “construction will be an area of strong growth for 2010” as well as health care and education says Pedro Antunes, Director of National Forecasts at the Conference Board of Canada."

 

This all bodes well for the Canadian home improvement industry for 2010 and there are strong rumours that the Federal Government’s home renovation tax credit program will be extended for all of 2010 which would provide another significant boost.

 

So there you have a bird’s eye view of Canada’s employment picture. From the ground level view of the home improvement industry, most employers are still being cautious about hiring new staff until they have more positive evidence of a true economic recovery, and are also waiting until they are in the new 2010 budget year. 2010 is only days away so here’s hoping for a great year!

 

Anecdotally, I have had 6 calls in the last 2 weeks from individuals I know in our industry who have been unemployed for over 6 months to say they are now re-employed. And employment advertisements in newspapers, trade publications, and recruiting firm sites are increasing so there is room for cautious optimism.  

 

So best wishes for a prosperous and successful 2010!

 

Contact Black Eagle

Telephone: (416) 458-9969
Email: info@blackeagle.ca