Eagle Vision Quarterly Newsletter

September 2013

 

Richard L. Simms
President, Black Eagle Executive Search

 

Employment news for Canada and the U.S. continues to slowly improve, and the latest data for September is shown below:

From Statistics Canada on October 11, 2013:

Employment was little changed in September, while the unemployment rate declined 0.2 percentage points to 6.9% as fewer youths searched for work.

Employment was up 1.2% (+212,000) compared with 12 months earlier. During this same period, however, the employment rate was little changed, as employment and the working-age population grew at a similar pace.

Since September 2012, the number of hours worked rose by 0.8%, as part-time employment grew at a faster pace than full time.

Employment in manufacturing fell by 26,000 in September, contributing to the decline of 4.1% (-73,000) on a year-over-year basis.

In September, employment among people aged 55 and over was unchanged. Compared with 12 months earlier, however, there were 140,000 more men and women working in this age group (+4.3%), largely a result of population aging.

From the U.S. Bureau of Labor Statistics, October 22, 2013

Total nonfarm payroll employment rose by 148,000 in September, and the unemployment rate was little changed at 7.2 percent, the U.S. Bureau of Labor Statistics reported today.


Employment increased in construction, wholesale trade, and transportation and warehousing.


The unemployment rate, at 7.2 percent, changed little in September but has declined by 0.4 percentage point since June. The number of unemployed persons, at 11.3 million, was also little changed over the month; however, unemployment has decreased by 522,000 since June.


 Employment in other major industries, including mining and logging, manufacturing, information, and government, showed little change in September.

 

 Housing market news:

 

From Canadian Real Estate Association (CREA)

  •  National home sales edged up by 0.8% from August to September.
  • Actual (not seasonally adjusted) activity came in 18.2% above levels in September 2012.
  • The number of newly listed homes declined by 1.4% from August to September.
  • The Canadian housing market has tightened but continues to remain balanced.
  • The national average sale price rose 8.8% on a year-over-year basis in September.

 U.S Department of Housing and Urban Development

 NEW RESIDENTIAL SALES IN AUGUST 2013


Sales of new single-family houses in August 2013 were at a seasonally adjusted annual rate of 421,000, according to estimates released jointly today by the U.S. Census Bureau and the Department of Housing and Urban Development. This is 7.9 percent above the revised July rate of 390,000 and is 12.6 percent above the August 2012 estimate of 374,000.


The median sales price of new houses sold in August 2013 was $254,600; the average sales price was $318,900. The seasonally adjusted estimate of new houses for sale at the end of August was 175,000. This represents a supply of 5.0 months at the current sales rate.


Commentary:

 

As noted in the above statistics, both the unemployment and housing in Canada and the U.S. are showing improving trends. However, it is still worrisome that employment in manufacturing continues to decline in Canada and is relatively flat in the U.S.

 

For our home improvement industry, employment is not robust and most hiring is for replacement of retiring or displaced employees. However, economic forecasts for 2014 in both Canada and the U.S. are looking for greater growth than in 2013 which should result in a continuing improvement in employment.

Contact Black Eagle

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