Employment prospects in manufacturing remain uncertain

Employment prospects in manufacturing remain uncertain for the fourth quarter, according to Statistics Canada’s October Quarterly Business Conditions Survey.

The voluntary survey, to which almost 4,000 responded, found that 24% of manufacturers believe their work force would drop in the next three months, a substantial increase from 17% in July and double the proportion of 12% in October 2000.

Indications of decreasing employment levels were widespread across the major industry groupings. The indications were strongest in four industries: transportation equipment, wood products, fabricated metal products and textiles.

The September Labour Force Survey reported employment in manufacturing fell more than 43,000 in the first nine months of 2001, down from a peak of just over 2.3 million in December 2000.

About two-thirds (67%) of manufacturers said their employment levels would remain constant.