Job Growth in Canada – Governments outpace and the private sectors in 8 provinces

● Several past analyses published by the Fraser Institute have shown that in recent years net job creation in the government sector has dramatically outstripped private-sector job creation.
● This publication updates these data, showing that during the recession brought on by the COVID- 19 pandemic and the following recovery (2019–2023), government employment has increased by 13.0% while employment in the private sector (including self-employment) increased just 3.6%
● We further expand past analysis by comparing the ongoing recovery from the COVID-19 recession to past periods of economic recession and recovery.
● We find that the extent to which the current economic recovery is driven by government job growth is historically unusual. We compare the current economic environment to five past economic re- cessions and slowdowns and find that none of those recoveries were nearly as reliant on job creation in the government sector.
● We also compare the current recession and recovery in Canada to that in the United States, which differs sharply. In the United States, the private sector has generated a large majority of all new jobs in recent years and the rate of net job creation in the private sector has been nearly identical to that in the government sector.
● As a result of disproportionately faster growth in the public-sector employment, government’s share of employment post-COVID is higher than at any point since the fiscal consolidations of the 1990s.

Chosen excerpts by Job Market Monitor. Read the whole story @ Economic Recovery in Canada before and after COVID: Job Growth in the Government and Private Sectors | Fraser Institute