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Ch 10 Labour Market Trends.docx

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Western University
Sociology 2169

Ch 10 Labour Market Trends 1/28/2013 10:09:00 AM Ch. 10 Labour Market and Employment Trends January 28, 2013 Why are labour market statistics important? o Sheds light on how the economy is doing and helps policy makers determine where change needs to occur o The number of “good” and “bad” jobs in our society has great implications for the state of equality o See how changes in the economy have impacted workers What is a Labour Market? o Where employers and employees come together, where workers get distributed into jobs and industries o Human capital theorists- open competition, people rewarded in proportion to education and skills o Plural- not one single labour market o Determined by geography or industry Labour Segmentation Theory o Focuses on how labour markets are “segmented” or separated into sections containing different kinds of jobs o Where you are in the labour market may limit chances of getting a good job o Core vs. periphery Core Labour Market o Relatively noncompetitive market o Capital intensive o Large o Often unionized o Can exert control over their environment o Stable with good benefits o E.g. “good” jobs- financial services, professional, technical, scientific Periphery Labour Market o Lower-tier service industries- “bad” jobs o Highly competitive markets o Smaller firms o Labour intensive o Nonunionized o No security o Low wages o High turnover o Primary vs. secondary o Chances of finding a good job are not only determined by sector but also: o Primary labour markets- the “lifetime” job o Secondary labour market- “dead end” jobs Labour Market Shelters o Labour market chances also affected by labour market shelters o Limit entry and protect wages (i.e. unionized or regulated professions) Labour Market Ghettos o The outcome of labour market segmentation o Trap certain groups of workers in the worst jobs in the labour market or within occupational categories o Structural barriers based on stereotypes (race, gender etc.) may also prevent people from entering “good” jobs so they may end up in ghettos Geography o Some areas just don’t have industries where “good” jobs are Labour Market Trends Contextualizing the Canadian Labour Market o Canadian economy experienced two recessionary periods in 1980s and 1990s o 1990s- more long-term effects and recovery slow o Late 1990s- labour market picked up o Overall 1990s- high unemployment & increasing income inequality Key shifts in the labour force since 1970s o Canada’s labour force now older o Canada’s population more educated o Growing reliance on immigration to meet the demand for skilled workers o Women’s increased participation in the labour force Where are Canadians Working? Manufacturing Service o Deindustrialization o Shift from goods producing  service industry o Goods producing- natural resources, manufacturing, construction, agriculture o Service- retail, wholesale trade, health care, public administration Knowledge based Occupations o Higher tier of the service sector o A result of citizens obtaining a higher degree of education o Professions, science, engineering, management, finance Private Sector, Public Sector & Self-Employment 2005: o 2/3 Canadians worked in private o 20% public o 16% self employed o Private strongly a
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