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Canada (162,320)
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SOC101Y1 (470)
Chapter 2

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Margaret Gassanov;

Chapter 2: Canadian Employment Patterns and Trends Data Sources • A major source is the Canadian census, a survey of the entire population of the country conducted by Statistics Canada • Second useful source is the monthly Labor Force Survey, also conducted by Statistics Canada • Unlike the census, which attempts to cover a range of topics, this random sample survey is designed to collect only work-related information and so provides much more detail. Information is always up to date • Major data source [符號] Canadian census (survey of entire pop. of country by Stats Canada) • Census takes place every 5 years. Therefore, not up to date but gives complete picture of Canadian labour market at specific points in time and historical changes • “Labour Force Survey” • Monthly source by Stats Canada • Random sample survey to collect work-related info • Info on unemployment, labour force participation rates, industries, occupations experiencing job growth/decline, self-employment, summer jobs etc The Demographic context of labor market change • No denying that demographic shift (population changes) under way in Canadian society set some basic parameters • Three of these trends deserve particular attention: • Aging, cultural diversity and educational attainment • Demographic shifts =pop. change • Economists debate on the rise/ decline of unemployment rate • Demographers can quite accurately predict birth rates, life expectancy, pop. growth etc 3 important trends[符號] aging, cultural diversity, education Workforce Aging • Among these demographic factors ispopulation aging, which has significant implications for job opportunities, pensions, work values and organizational structures • Baby bloom generation born between 1946-1964, entered the workforce when economy was still expanding, and many obtained good jobs • Baby boomers found their careers beginning to plateau in the 1990s and 2000s • Generally, work organizations have not adapted to changing demographic pressures, maintaining pyramidal structures and recruitment policies that are no longer appropriate and focusing on downsizing for the past decade • Marked trend toward “early” retirement, due to labor market restricting and downsizing in the 1990s, 2000s, and the proportion of 55- to 64- year olds in the workforce has increased as growing numbers of boomers reach “near retirement” age • Earliest baby boomers are not approaching their mid 60s and have either begun or are soon planning to pursue their retirement options • As more and more baby boomers enter retirement, labor shortages in some sectors and regions are becoming a growing problem Canada’s demographic trends influence social + economic changes • Pop aging [符號] important demographic factor with significant implications for job opportunities, pensions, work values, organizational structures • Baby boom generation [符號] 1946-1964; altered demographic shape and social structure of Canada Chapter 2: Canadian Employment Patterns and Trends • People are retiring later now so there are significantly more workers that are in the 55-65+ range • Pensions have become a problem because of the large baby boom generation [符 號] will youth have to pay more to cover costs or will Canadians have to wait until 65+ in order to collect government pension? • Younger worker are outnumbers by baby boomers’ generation • Although it seems good that baby boomers are retiring, many blue-collared jobs may not get filled Greater Workforce Diversity • Immigration levels have been kept low when unemployment was high, but have been allowed to rise when economic expansion required extra workers • Immigrants frequently create their own jobs, or are willing to take jobs that others do not wish to have and are carefully selected to match shortages of workers in specific occupational categories • With current immigration patterns, the proportion of visible minorities in Canada will increase • Immigrants are also younger on average so both Aboriginal Canadians and immigrants will make up growing share of the workforce as older Canadians retires Immigration policies are influenced by demographic trends • Immigration levels were kept low when there were labour shortages but were high when economic expansion required more workers • Sometimes it also replaced shortage of birthrates A better-educated workforce • Canadians are becoming increasingly well educated, a trend that has also fundamentally changed the character of the labor force • Dramatic change in educational attainment of the labor force between 1975-2008s • Analysts argue that well educated workforce is a nation’s key resource in today’s global marketplace • Life long learning and learning organizations: refer to continuous education, both formal and informal in educational institutions and at work and home, throughout ones adult life • Educators, parents and students have responded by raising concerns that closer links between education and the economy might mean too much business influence over what is taught at all levels of the educational system • Assumption underlying the “education and training” solution: to economic growth is that our workforce is not sufficiently educated and trained • While unemployment is higher among less educated, • Mismatch between education and job requirements is often referred to as underemployment • Underemployment among well educated new educated immigrants is especially high • Underemployment highlights the need to go beyond the supply side of the education job equation to examine how job content and skill requirements could be upgrade • Canadians are becoming increasingly well-educated[符號] changes character of labour force • Many analysts say that a well-educated workforce is a nation’s key resource in today’s global marketplace • Additional education and training will make Canada more competitive internationally • Canada has very little record of employer-sponsored workplace training [符 號] problem is that labour market inequalities rise because the people who receive training are well-educated workers who already have good jobs Chapter 2: Canadian Employment Patterns and Trends Labor force participation trends • Labor force participation (LFP): the main indicator of a populations economic activities Labour Force Participation [符號] main indicator of population economic activity from paid employment perspective • Calculations of labour force size/participation rates are based on # individuals 15 years or older who are working for pay and those looking for work(unemployed counts as labour force) Gender Differences in Labor Force participation • 1960-1970s, growth in female in LFP was due to larger numbers of women returning to paid employment after their children were in school or left home • Female participation rates increase, but male rates decline over most of the past century, although not as steeply • Had little effect on male participation rates, through the 2000s, the male and female LFP rates have seen relatively little change • Long term growth in total LFP rates in Canada has been the product of substantial increases for women and somewhat less dramatic declines for men • Reflects two trends: • Men are living longer (with more men living part the conventional retirement age, the proportion of all men out of the labor force is increasing • More men are retiring early (typical retirement age of 65 • During the recession of 2008-9, better educated workers had the most stable employment, while immigrants, Aboriginals, less educated workers and youth experience greatest • Growth in 1960s and 1970s has a lot to do with larger number of women returning to paid employment after children were in school or left home • In 1980s and 1990s, growth was because mothers worked to raise children • Male rates have declined over most of the past century[符號] reasons include: earlier retirement; men living longer Labor force participation among youth • Youth LFP rates decline so notably in 1990s: • Recession lasted until mid decade, sharply reduce the number of “good” entry level jobs for youth • During that period, youth wages declined more than for any other age group in the labor force • Large proportion of youth decided to continue their education to improve their employment prospects • Youth LFP rates increased again: • Stronger economy, reflected in lower unemployment rates • Rapidly rising post secondary tuition may have led some Canadian youth to choose work over school s Youth LFP rates have declined a lot in 1990s • Recession that took place until mid-decade reduced number of good entry level jobs for youth • A lot of youth decided to continue their education to find better opportunities for employment • In recent years, youth LFP rates have increased potentially because of higher tuition costs Chapter 2: Canadian Employment Patterns and Trends Labor force participation among Older Canadians • Higher education and self employment status increased the odds of working as a senior • Patterns challenge the traditional three stage model of work life: • Education, employment, retirement • Researchers now using the life course perspective that views individuals’ roles as more fluid and examines the choices and constraints underlying transitions across roles • Older men are more likely to be employed in industries when employment is declining • Women earn less on average than men and receive fewer benefits, including government and employer pensions • Compared to men of the same age, fewer older employed women have the financial resources needed to retire • Growing trend toward wives becoming the sole wage earner in families is most evident in families with husbands aged 55 or older Some seniors wish to retire before 60 years and some plan to work beyond 65+ • Some seniors stop working because of health concerns while others want to work less hours so they can take more vacation • “bridge employment” [符號] people who have retired or who are receiving a pension continuing to work for pay • Reasons that make older people work longer [符號] higher education, self-employment • Women tend to retire earlier than men (women receive less benefits including pension) Unpaid work • Largest and most serious omission is unpaid household and childelder care work • Volunteer work is likely to become an even larger part of the total amount of unpaid work performed by Canadians • Official statistics underestimates the number of working Canadians and the value of their work • Various types of informal work –household child/elder work, volunteer work, work in subsistence economies and work in the hidden economy –are over looked • Reflects how society values individual’s unpaid activities Unpaid household work, child/elder-care work • Men are gradually increasing involvement in domestic work • Volunteer work • Hidden economy [符號] illegal activities Industrial changes: The emergence of the service economy • Industry classification direct our attention to the major type of economic activities occurring within the workplace • Primary sector: including agriculture, mining, forestry and other resource extraction industries Chapter 2: Canadian Employment Patterns and Trends • Secondary sector: goods are produced from the raw materials supplied by the primary sector • Tertiary sector: where services rather than products are provided • Service: defined as the exchange of a commodity that has no tangible form Service-Sector Growth • Relative size of the primary and secondary sectors have been declining steadily ever since • Sector has also come to represent a much larger share of the total value of goods and services produced in the Canadian economy • Rise of the service sector can be attributed to a combination of factors • Productivity gains due to new technologies and organizational forms in manufacturing but also in the resource industries have meant that fewer people could produce much more • Expansion of production in the primary and secondary sectors has been accompanied by a relative decline in the need for employees Employment Diversity within the service sector • Wide range of specific industries within the broad sector can be usefully categorized into 6 broad groups • Distributive services, business services, education, health and welfare sector, public administration, retail trade, and other consumer services • Distributive services differ from the others by being the final link in the process whereby raw materials are extracted, transformed and then delivered to the ultimate consumer • Useful to combine the 6 service categories into an upper tier and lower tier • Upper tier: distributive, business, education, health and welfare and public administration • Lower tier: retail trade and other consumer services Gender and Age differences in Service-sector employment • Women more likely to be employed in the lower-tier services • Within the upper tier service women were much more heavily concentrated in the health, education and social services industries than were men • Men were considerably more likely to be employed in trade, transportation and professional, scientific and technical industries Occupational changes • Occupational distinctions are determined by the work an individual typically performed the actual task that she or he completes • Two classification system parallel each other to an extent but also overlap considerably Blue collar and white collaroccupations • Not all of the people employed in the primary and secondary industries would be classified as blue collar workers while most of those working in the service industries would be identified as white collar workers • Blue collar: traditionally used to distinguish occupations with unclean and potentially hazardous working conditions • White collar: clerical, sales, managerial, and professional occupations • Primary sector industries became less important over the course of last century, huge decline in the size of some occupational growth • Over the course of the part century, white collar jobs have come to dominate the Canadian labor market Gender and occupational location • New white collar positions have been filled by women • While remaining blue collar jobs in the primary and secondary sectors are still typically held by men Chapter 2: Canadian Employment Patterns and Trends • Heavy concentration of women in clerical, sales, and service occupations • Pink collars: been used to describe these occupational categories • Decline in blue collar occupations is a result of the massive restructuring in the goods-producing sector • While the smaller decline in clerical occupations reflects a complex set of related changes, from advancing information technology to downsizing to the upgrading of some of these jobs to administrative strategies • Women are more heavily concentrated than men in pink collar occupations • Women also relatively overrepresented in health and social science, education and government • Important to note the changes over time in the gender composition of the occupational structure • There have been some shifts in the gender composition of the occupational structure, although female-male differences have not disappeared • Women are still more likely to be in the lower status occupations within these broad categories and are still typically supervised by men Self employed trends • Shift toward paid labor can be explained to a considerable extent by changes in the agricultural sector • While wage labor has become more common in agriculture, a major decline in the number of family farms has also meant fewer self employed individuals and unpaid family workers • Self employment in the secondary and servic
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