In June, average weekly earnings of non-farm payroll employees increased 0.3% from the previous month to $876.27. On a year-over-year basis, average weekly earnings were 3.0% higher compared with June 2010.
The 3.0% increase reflects a number of factors, such as wage growth and changes in the composition of employment by industry, by occupation and by level of job experience.
Non-farm payroll employment data are for all hourly and salaried employees, as well as ‘other employees' category, which includes piece-rate and commission-only employees.
Average weekly hours data are for hourly and salaried employees only and exclude businesses which could not be classified to a North American Industrial Classification System code.
All earnings data include overtime pay and exclude businesses which could not be classified to a North American Industrial Classification System code.
Average weekly earnings are derived by dividing total weekly earnings by the number of employees.
Changes in average earnings can be influenced by a number of factors. Changes in the level of earnings, the number of payroll employees, and the number of hours worked can have an impact. Other factors could include compositional changes over time, such as changes in the proportions of full-time and part-time work; proportions of casual, senior and junior employees; the occupational distribution within and across industries; and in the distribution of employment between industries. Such effects may apply differently within different provinces and territories, and over time.
Average hours worked per week, which can also contribute to growth in earnings, did not account for any of the increase in June. The average work week was 32.9 hours, unchanged from June 2010.
Average weekly earnings up in every province
Average weekly earnings rose in every province in the 12 months to June, led by growth in Alberta and British Columbia. The slowest growth was in Saskatchewan and Prince Edward Island.
In Alberta, average weekly earnings in June amounted to $1,041.45, a 5.0% increase from June 2010. Alberta has recorded year-over-year growth in earnings above the national average since March 2010.
Average weekly earnings by industry
Year-over-year growth in average weekly earnings exceeded the national average of 3.0% in two of Canada's largest industrial sectors: professional, scientific and technical services as well as retail trade. Year-over-year earnings declined in both accommodation and food services and in educational services.
In the 12 months to June, average weekly earnings in professional, scientific and technical services increased 5.2% to $1,242.91. Since June 2010, a number of industries within the sector have had notable earnings growth. They included architectural, engineering and related services; management, scientific and technical consulting services; and computer systems design and related services.
The second fastest rate of growth in average weekly earnings occurred in retail trade, where it rose 3.7% to $520.26, spread across a number of industries.
Year-over-year growth in earnings also surpassed the national average in some smaller sectors. Earnings for employees in finance and insurance rose 5.9% to $1,083.13, mainly in insurance carriers and related activities (+11.3%) as well as securities and commodity contracts (+8.2%).
In mining, quarrying, oil and gas extraction, earnings rose 4.2% to $1,771.75 since June 2010, the result of increases in support activities for mining and oil and gas extraction as well as mining and quarrying.
Average weekly hours worked
At 32.9 hours, average weekly hours were unchanged for the third consecutive month.
While overall average weekly hours were unchanged from June 2010, there were notable year-over-year increases in utilities (+3.1%); finance and insurance (+1.5%); and health care and social assistance (+1.3%). At the same time, there were declines in arts, entertainment and recreation (-4.6%) as well as in retail trade (-1.4%).
Non-farm payroll employment by sector
Non-farm payroll employment rose by 63,600 from May to June. In the 12 months to June, the number of non-farm payroll employees increased by 258,100 (+1.8%).
The monthly increase in June was spread across most sectors, with the largest gains in construction, public administration as well as health care and social assistance.
On a year-over-year basis, the fastest growth was in the mining, quarrying, oil and gas extraction sector, where payroll employment increased by 19,800 (+10.6%). The bulk of the growth occurred in support activities for mining, oil and gas extraction in Alberta.
Payroll employment in public administration also increased faster than the national average, rising 2.9% in the 12 months to June, the result of temporary hiring in May and June associated with the Census program.
Year-over-year job growth of 2.7% in professional, scientific and technical services was also above the national average, mainly the result of job growth in architectural, engineering and related services and computer design services.
Construction employment increased by 22,300 (+2.7%) since June 2010. Most of the increase was among specialty trade contractors and heavy and civil engineering construction.