“Real” Unemployment Rate Passes 12%
Statistics Canada provides an “R8” unemployment rate which adds to the unemployed:
– discouraged job searchers who have dropped out of the labour force
– those working part -time due to unavailability ofÂ hours
– those not looking for work because awaiting a return to work
By this measure, the unemployment rate jumped from 11.7% to 12.4% last month — driven not just by the sharp rise in unemployment, but alsoÂ by falling labour force partcipation and a shift from full time to part time jobs.
As noted by Erin in his post on the numbers , we base access to EI and duration of benefits on the official unemploymentÂ rate, which is not adequately registering the pronounced decline in labour market conditions.