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Canadian payroll earnings up 1.8% in July year-over-year – Statistics Canada

Average weekly earnings of non-farm payroll employees were $970 in July, up 1.8% from a year earlier according to Statistics Canada.

Payroll earnings were little changed in July from the previous month. In general, changes in weekly earnings reflect factors such as wage growth, changes in the composition of employment by industry, occupation and average hours worked per week.

In the 12 months to July of this year, average weekly earnings rose in six of the 10 largest industrial sectors, led by accommodation and food services. At the same time, earnings declined in construction, and were little changed in education, manufacturing and retail trade.

Average weekly earnings in accommodation and food services rose 6.8% to $387. Earnings in this sector have trended upward since February 2017, said Statistics Canada. In wholesale trade, average weekly earnings were up 5% to $1,200, boosted by earnings gains for wholesalers of machinery, equipment and supplies.

Among employees in administrative and support services, average weekly earnings increased 3.8% to $798, largely attributable to increased earnings in employment services. And average earnings in professional, scientific and technical services rose 2.7% to $1,346.

However, average weekly earnings in construction fell 2.4% to $1,212, down from a relatively high point in July 2016. The year-over-year decrease was mainly attributable to specialty trade contractors. Among the provinces, Alberta had the largest earnings decline in the construction sector, noted Statistics Canada in a news release.

In the 12 months to July, average weekly earnings of non-farm payroll employees increased in six provinces, led by British Columbia. At the same time, earnings were little changed in New Brunswick, Alberta, Prince Edward Island and Newfoundland and Labrador.

Continuing a long-term upward trend, average weekly earnings in British Columbia grew 3.3% to $941. The largest contributors to this increase were educational services, wholesale trade, and transportation and warehousing. In Manitoba, earnings rose 2.6% to $909 per week, while in Quebec earnings increased 2.5% to $897, driven by rises in health care and social assistance as well as professional, scientific, and technical services. In Ontario, Canada’s most populous province, average weekly earnings increased 1.4% to $984.