Labour Market Bulletin - Northwest Territories, Nunavut and Yukon: October 2022

Overview

There were 61,900 people working in Yukon, Northwest Territories (NWT) and Nunavut in October 2022, representing an employment decrease of 1.0% (-600) compared to September 2022. While employment levels in Yukon remained stable in October, employment in Northwest Territories and Nunavut fell by 1.6% and 1.4%, respectively.

On an annual basis, employment in the Territories increased substantially between October 2021 and October 2022, up 5.1% (+3,000). Employment in all three territories increased during the year. The largest annual increase occurred in Nunavut (+8.5%). Employment levels in Yukon and Northwest Territories grew more moderately, increasing by 4.0% and 4.3%, respectively.

* Combined data - three month moving average
Note: Totals may not add due to rounding
Source: Statistics Canada Labour Force Survey Table 14-10-0292-01 (formerly CANSIM 282-0100)

* Combined data - three month moving average
Note: Totals may not add due to rounding
Source: Statistics Canada Labour Force Survey Table 14-10-0292-01 (formerly CANSIM 282-0100)

The unemployment rate for the combined territories increased to 7.1% in October 2022, up 1.5 percentage points from September 2022. Between October 2021 and October 2022, Northwest Territories was the only territory to experience an increase in its unemployment rate, up 1.3 percentage points to 5.8%. In contrast, Yukon's unemployment rate dropped by 1.7 percentage points to 3.3%. The unemployment rate in Nunavut decreased by 1.6 percentage points to 14.8%. Nunavut continues to have one of the highest unemployment rates in Canada: 9.6 percentage points higher than the national average of 5.2%.

*Combined seasonally adjusted data, based on a three month moving average
Source: Statistics Canada Labour Force Survey Table 14-10-0292-01

Show data table: Northwest Territories, Nunavut and Yukon* Monthly Employment and Unemployment Rate

Northwest Territories, Nunavut and Yukon
Monthly Employment and Unemployment Rate

	Unemployment Rate (%)	Employment ('000)
Oct-2020	8.7	55.3
Nov-2020	7.1	63.0
Dec-2020	6.6	56.7
Jan-2021	6.0	56.5
Feb-2021	6.6	56.8
Mar-2021	6.7	57.3
Apr-2021	6.2	57.9
May-2021	5.6	57.8
Jun-2021	5.1	57.8
Jul-2021	5.4	57.6
Aug-2021	6.8	57.6
Sep-2021	7.6	58.1
Oct-2021	7.7	58.9
Nov-2021	5.6	60.4
Dec-2021	6.1	62.8
Jan-2022	7.3	64.5
Feb-2022	7.6	64.7
Mar-2022	7.6	63.4
Apr-2022	6.3	63.0
May-2022	7.1	62.3
Jun-2022	5.8	62.8
Jul-2022	5.7	63.0
Aug-2022	5.3	63.0
Sep-2022	5.6	62.5
Oct-2022	7.1	61.9

The youth (15 to 24 years) unemployment rate for the three territories combined increased slightly to 16.5% (+0.6 percentage points) between October 2021 and October 2022. The unemployment rate for young men increased by 0.9 percentage points to 20.9%, while the unemployment rate for young women went up by 1.9 percentage points to 12.2%.

* Combined data - three month moving average
Note: Totals may not add due to rounding
Source: Statistics Canada Labour Force Survey – ESDC custom table

Employment by industry

There were 8,500 people employed in the goods-producing sector in October 2022. This corresponds to a 4.9% (+400) increase in employees compared to the same time last year. Employment losses in agriculture were offset by gains in construction and manufacturing.

The goods-producing sector should continue to see steady growth over the short and medium term. Many public infrastructure projects will help to generate new employment opportunities. For instance, the Government of Yukon and the City of Dawson are planning to build a new recreation centre in the city. Construction of the $60 million recreation centre is scheduled to begin in 2024. The new facility will include a skating rink, curling rink, gymnasium, concession and office space. ^[1]

In addition, main construction work is now underway on the $160 million Nisutlin Bay Bridge replacement project in Yukon, which is set to be completed in 2026. ^[2] Graham Infrastructure LP was awarded the contract and has committed to prioritizing Yukon-based businesses and residents during its hiring process. The bridge is a critical transportation link for drivers and pedestrians, and for moving goods into the territory. ^[3]

The Government of Northwest Territories announced in October 2022 that flood recovery for the Town of Hay River and Kátł'odeeche Fırst Nation could cost more than $174 million. ^[4] In May this year, historic flooding in the region damaged many roads, homes and key infrastructure, such as water treatment plants and the landfill. The federal government is expected to help cover about 90% of the recovery costs. ^[5]

The Nunavut Housing Corporation (NHC) and Inuit-owned NCC Development Limited announced a plan in October 2022 to construct 3,000 homes by 2030. ^[6] The NHC estimated that it would cost about $2.6 billion to build all 3,000 housing units across Nunavut. Around 360 of the units will be built by 2023. Housing shortages have been a long-term issue in Nunavut, with over 3,500 households in need of housing according to a 2020 territorial report. ^[7]

* Combined data - three month moving average
Note: Totals may not add due to rounding
Source: Statistics Canada Labour Force Survey - ESDC custom table

From October 2021 to October 2022, employment in the services-producing sector in the combined territories increased by 4.5% (+2,300) to 53,400. The largest gains were in health care and social assistance, educational services, public administration and information, culture and recreation.

Over the next two years, public sector industries such as education, health care and public administration are anticipated to experience steady growth, buoyed by increased federal and territorial government funding commitments. For example, the Government of Canada is providing $150,000 to support French-speaking Nunavummiut to continue their post-secondary studies and access other professional supports. The funding will be used to hire staff to manage and deliver courses at a new French language training centre in Nunavut. The program will serve between 25 and 100 learners each year. ^[8]

The First Nations School Board (FNSB), Yukon's newest school board, became operational in the 2022-2023 school year. ^[9] Funded by the Government of Yukon's Department of Education, eight schools across the territory joined the new school board this year. Schools under the board will have more control over students' education, the hiring of new staff and the management of funding than other schools. All eight schools will continue to follow British Columbia's curriculum; however, the board will set all teaching materials, resources and approaches. ^[10]

In Northwest Territories, the federal and territorial governments have pledged $4.6 million to enhance wages for early childhood educators working in licensed centre-based childcare programs. Licensed centre-based programs will receive $12,750 per full-time equivalent position in year one and $16,250 in year two, based on staff to child ratios. This funding will help program operators to improve employee recruitment and retention. Approximately 300 early childhood educators across territory are expected to benefit. ^[11]

In the health care and social assistance sector, the Government of Yukon has earmarked a total of $400,000 for thirteen Yukon organizations to promote youth mental wellness. The funding is expected to support local organizations develop projects that can help youth to stay healthy and to obtain hands-on skills training, such as woodworking, welding and carving. ^[12]

On October 5, 2022, the Government of Northwest Territories and the union representing the territory's health-care workers reached a temporary agreement aimed at addressing health care labour shortages in the territory. The agreement includes recruitment bonuses of $5,000 to $7,000 for newly hired registered nurses, nurse practitioners and midwives. ^[13] The Northwest Territories is facing a critical shortage of health care staff and many health centres across the territory are operating at reduced healthcare services. ^[14]

The Government of Canada is investing $11 million in the National Inuit Suicide Prevention Strategy to provide more support for Inuit children and youth in communities in Inuit Nunangat. ^[15] This funding will help create programs that focus on Inuit-specific mental health first aid and projects to curtail child sexual abuse and reduce poverty. According to Inuit Tapiriit Kanatami, a non-profit organization that represents over 65,000 Inuit in Canada, suicide rates in Inuit Nunangat are five to 25 times higher than rates in the rest of Canada. ^[16]