N.W.T. unemployment rate hits 7.4 per cent to end 2018

The unemployment rate in the Northwest Territories rose to 7.4 per cent in the fourth quarter of 2018, according to data released by Statistics Canada on Friday.

In the previous quarter, the rate was 4.7 per cent.

"The N.W.T. economy is in a bit of a malaise at the moment. We really haven't seen any new investment activity or any growth in our more important sectors in several years," said Graeme Clinton, owner of Impact Economics in Yellowknife. 

The increase doesn't surprise him, and he said that number isn't the most important focus. The total number of jobs and the employment rate have trended downward over last ten years or so, Clinton said.

He said there's a need for more economic growth outside of the existing diamond mining industry. 

"While the sky is not going to fall in tomorrow, we can see there are some cliffs in front of us and there is, I think, a bit of a call-to-action in terms of trying to address those cliffs," Clinton said.

4th-quarter job losses

The highest unemployment rate of the year was in the first quarter at 8.8 per cent.

In the third quarter, the estimated number of people employed in the territory increased by 900. In the final quarter, the number dropped by about 1,000, resulting in the current unemployment rate.

In 2017, Statistics Canada reported that there was no change between the third and fourth quarters, and the unemployment rate in the same quarter last year was 7 per cent. 

In January 2018, there were 20,900 people employed in the territory, according to the territorial government's monthly Labour Force Activity report, which uses different data than Statistics Canada. In November, that number was 21,700. 

The statistics for December were not available at the time of publishing. 

There was little change in the other territories during the same quarter, according to Statistics Canada's Labour Force Survey, though Yukon hit an all-time low annual unemployment rate.