On Wed, 2 Feb 2000, Victor Milne wrote:
> Could someone on the list (maybe Ed Weick?) tell me the basis for the
official unemployment stats? Are they just the number of people collecting
EI benefits calculated as a percentage of the total work force, or do they
use some other method of determining the number of people "actively seeking
work"?
> 
And Tom Walker replied:
  
>Unemployment stats are based on a survey of a sample of the
>population. The "unemployed" are those who are currently not working and
>who are actively seeking work. It does not include discouraged workers who
>have given up looking for work or underemployed workers who are
>working part-time because they are unable to find full-time work.
 
===============
Ed G said
As a skeptic and not a cynic, I believe the devil is in the details. The
key words are "actively seeking work". By changing the polling defining
criteria from "seeking work 4 hours, 2 days a week" to "6 hours 4 times a
week", a sizeable reduction in unemployments stats. is obtained.
===============
The problem with unemployment stats is that they simply state a fact: on
the basis of a sample, X% of the labour force is unemployed at a particular
time.  They give no indication of the uncertainty and vulnerability that
exists in the labour market.  An interesting approach to trying to capture
this can be found on the Ryerson Polytechnic University web page at:
  
 http://www.research.ryerson.ca/~ors/research/job.html
  
What follows is part of the summary of the Ryerson study.  The study as a
whole can be downloaded.
  
Ed Weick
  

----------

The Job-Poor Recovery: Social Cohesion and the Canadian Labour Market

Mike Burke and John Shields
Senior Researchers, Ryerson Social Reporting Network
Ryerson Polytechnic University

Summary


Highlights 

Recent developments in the job market reveal a disturbing pattern
characterized by job-poor growth. The kinds of jobs being created are
undermining the foundation for middle class life in Canadian society. The
middle is being hollowed out and an hour glass labour market created. This
hour glass labour market is featured by a segment of the workforce enjoying
an important measure of employment security and sufficiency of market-based
incomes versus a larger and growing element of the labour force facing
insufficiencies in employment security and/or labour market earnings. 

The source of the growing gap in the Canadian labour market is the
deteriorating quality of employment. The Canadian labour market has
undergone profound restructuring over the last three decades. Influenced by
the forces of globalization, rapid technological change and a radically
altered public policy environment, contemporary employment patterns have
been restructured away from full-time tenured forms of work in an economy
featured by rising living standards and increased expectations, towards
flexible forms of employment in a just-in-time economy marked by growing
levels of employment contingency, economic polarization and social
exclusion. Labour market polarization is jeopardizing the prospects for a
secure foundation for family life in Canada. 

This study offers a unique contribution to understanding the dynamics of
Canadian labour market change. Especially noteworthy are the following
observations drawn from the analysis based on the Ryerson Social Reporting
Network new labour market indices: 
 * over 52 percent of Canadian workers earn less than $15 per hour; 


 * more than 37 percent of working single mothers earn less than $10 per
hour compared to 26 per cent for all employees  that constitutes an annual
salary of only $18,200 based on a yearly 35 hour work week; 


 * 3.2 million Canadians (about one-fifth of the labour force) are
structurally excluded form the labour market in that they are either
unemployed or significantly underemployed; 


 * some 45 percent of adult employees between the ages of 25-59 are
employed in flexible forms of work (less than full-time tenured workers).
This represents a highly polarized employment pattern; 


 * flexible forms of employment (part-time, contract, full-time
non-tenured) are on average between $5 to $8 per hour more poorly
compensated than full-time workers with tenure; 


 * flexible workers lack job ladders and have few opportunities to increase
their real income earning capacity over time; 


 * 53 percent of the adult workforce or 6.7 million individuals are in
vulnerable employment situations because they lack employment stability
and/or market income sufficiency; 


 * single mothers, and more generally women, are significantly over
represented among flexible workers and the vulnerably employed; 


 * while higher levels of education are positively related to a better
individual positioning in the job market, overall the education effect
represents only a minor influence. Gender, single mother status and age are
more influential in determining the quality of employment one holds; 


 * trade union membership and public sector employment protect workers from
the worst inequality found in flexible and vulnerable forms of work. 



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Ed Goertzen,
Oshawa

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