Pub patio in Victoria reopens with widely spaced tables, June 2020. B.C.’s summer job recovery is slowing down. (Tom Fletcher/Black Press)

Pub patio in Victoria reopens with widely spaced tables, June 2020. B.C.’s summer job recovery is slowing down. (Tom Fletcher/Black Press)

New B.C. jobs won’t be enough when CERB ends: economist

Unemployment double what it was before COVID-19

Statistics Canada says B.C. gained 15,300 employed people in August, creating a slight drop in the seasonally adjusted unemployment rate from 11.1 per cent to 10.7.

While that’s the third month of improvement in a row, it’s less than June and July and making further gains won’t be easy, says Ken Peacock, chief economist for the Business Council of B.C. And the end of the federal government’s Canada Emergency Response Benefit (CERB) is going to have an enormous impact.

“If this were normal times, a 15,000 upward movement would be quite good, even kind of strong,” Peacock said in an interview with Black Press Media Sept. 4. “But in this current context, it’s such a dramatic pull-back from the previous couple of months. It speaks to exactly what we’ve been concerned about, that the low-hanging fruit in terms of rehiring has been accomplished, and we’re going to see sluggish job growth from here on out.”

Peacock notes that 1.15 million people in B.C. applied for CERB since it was offered in spring, with few barriers to receiving $2,000 per month to offset lost income during the pandemic.

“That’s 45 per cent of the pre-COVID workforce, so nearly half of all employed people in B.C. at some point have claimed the CERB,” he said. “This is going to force people back to work, but the question is are the jobs going to be there for them.”

RELATED: Trudeau says CERB extension delayed some payments

RELATED: Deferred B.C. sales, carbon and fuel tax due Sept. 30

Statistics Canada’s breakdown by city shows similar gains as the national job picture. Victoria’s unemployment rate went from 11.1 per cent to 10.3, Kelowna’s fell to nine per cent from 10 and Abbotsford-Mission barely moved from 8.3 per cent to 8.2.

CERB was originally to run out at the end of August, but Prime Minister Justin Trudeau announced a four-week extension on Aug. 20, with a promise of a transition to a revised program.

The federal government is making Employment Insurance more accessible and available for self-employed people, but it’s nowhere near a replacement for the CERB, Peacock said. And B.C.’s $1.5 billion business relief fund may sound like a lot but it is modest compared to the federal wage support and other pandemic programs that are also due to wind down.


@tomfletcherbc
tfletcher@blackpress.ca

Like us on Facebook and follow us on Twitter.

BC legislatureCoronavirus

Just Posted

Participants of the Indigenous-led agricultural training program pose for a photograph with the staff at Tea Creek Farm in Kitwanga. (Photo courtesy, Alex Stoney)
Indigenous-led food sovereignity program trains first cohort in Kitwanga

Tea Creek Farm trained participants from northwest B.C. First Nations

The Red Chris open pit mine approximately 80 km south of Dease Lake. The province and Tahltan will start negotiations on the first consent-based decision-making agreement ever to be negotiated under DRIPA with regards to two mining projects in northern B.C. (Newcrest Mining photo)
B.C. to begin DRIPA-based negotiations with Tahltan First Nation on two northwest mining projects

Negotiations on Red Chris and Eskay Creek mines to commence soon in accordance with Section 7 of DRIPA

Columnist Steve Smyth (File photo)
One for the road: Columnist Steve Smyth signs off

After nearly 60 years of residency, this will likely be the last… Continue reading

The site of the new Mills Memorial Hospital project in Terrace on June 18, 2021. The provincial government is so far choosing not to comment on suggestions a new Mills Memorial Hospital will now cost in excess of $600 million. (Ben Bogstie/Terrace Standard)
Province silent on Terrace hospital construction cost

Health ministry urges citizens to stay tuned

The City of Terrace is setting up a town hall meeting to address the ‘crisis’ in the downtown area. (Black Press Media File Photo)
Terrace council declares crisis in downtown

City staff are in the process of setting up town hall meeting

A small pod of Pacific white-sided dolphins pass by close to shore in Campbell River June 16, 2021. Still capture from video courtesy of Kimberly Hart
VIDEO: Dolphin sunset captured from Vancouver Island shore

Spectacular setting for view of travelling pod of Pacific white-sided dolphins

Police are asking for public assistance in locating Anthony Graham who has been charged with the murders of Kamloops brothers Carlo and Erick Fryer. (RCMP photo)
2 charged, suspect at large in killings of B.C. brothers linked to gang activity: RCMP

Kamloops brothers Erick and Carlo Fryer were found deceased in May on a remote Okanagan road

Albert Health Minister Tyler Shandro and Alberta Premier Jason Kenney unveil an opening sign after speaking about the Open for Summer Plan and next steps in the COVID-19 vaccine rollout, in Edmonton, Friday, June 18, 2021. THE CANADIAN PRESS/Jason Franson
Alberta 1st province in Canada to lift all COVID-19 public health restrictions

70.2% of eligible citizens 12 and older in the province have received a dose of the vaccine

Fraser Health registered nurse Ramn Manan draws a dose of the Pfizer COVID-19 vaccine into a syringe at a walk-up vaccination clinic at Bear Creek Park, in Surrey, B.C., on Monday, May 17, 2021. THE CANADIAN PRESS/Darryl Dyck
‘Honour our fathers’ with COVID-19 vaccine protection, B.C. urges

109 new cases Friday, 75 per cent of 12 and up immunized

(Paul Henderson/ Chilliwack Progress)
Trutch Avenue in Chilliwack to be renamed to remove racist taint

New name to have Indigenous significance as Chilliwack takes new step toward reconciliation

Canadian Prime Minister Justin Trudeau is seen during a joint news conference following the EU-Canada Summit, in Brussels, Belgium, Tuesday June 15, 2021. Trudeau says Canada is on track now to have 68 million doses delivered by the end of July, which is more than enough to fully vaccinate all 33.2 million Canadians over the age of 12. THE CANADIAN PRESS/Adrian Wyld
Vaccine deliveries enough to fully vaccinate all eligible Canadians by end of July

Three in four eligible Canadians now have their first dose, nearly one in five fully vaccinated.

Chief Public Health Officer Theresa Tam listens to a question during a news conference, in Ottawa, Tuesday, Jan. 12, 2021. The number of confirmed COVID-19 cases attributed to the highly contagious Delta variant grew in Canada this week. THE CANADIAN PRESS/Adrian Wyld
Canada’s public health agency reports spike in confirmed cases of Delta variant

More than 2,000 cases of the variant confirmed across all 10 provinces and in one territory

Bella Bella is on B.C.’s Central Coast, accessible only by air and ocean. (Tom Fletcher/Black Press)
B.C. provides $22 million for Heiltsuk development on Central Coast

Elders care home project, tourism, lumber mill supported

Most Read