economy
SHOWING UP IS HALF THE BATTLE Total labour force participation rates have been fairly stagnant for decades - but not when viewed through the lens of demography.
Total labour force participation in BC has been relatively steady since it was first captured in 1976, oscillating between a low of 61% in the late 1970's to a high of 67% in the early 1990’s. And while today’s rate of 65% is on the upper end of the spectrum, it’s below the 66% level from 1997. The reason why is in the underlying participation rates by age group and the relative size of those age groups that tell the story of changing participation over time. Participation rates for prime working aged adults, those from 25-54, have been steadily
growing for the past 25 years, from 85% in 1997 to 88% today. Similarly, participation rates for older adults have risen over the same period, from 25% to 37% today. However, the total hasn’t increased because we have an aging population and aging labour force. In 1997 those aged 25-54 made up 58% of the total 15+ population, whereas today they account for just 47%. Those aged 55+ went from 26% of the working age population in 1997 to 39% today. This is also why immigration is so important to our labour market, which we explore further later on.
A PARTICIPATION RIBBON FOR THE CURRENT GENERATION
100%
90%
85%
88%
80%
70%
63%
67%
60%
50%
40%
37%
25%
30%
20%
10%
0%
TO YEARS
TO YEARS
YEARS & OVER
DATA: LABOUR FORCE PARTICIPATION & POPULATION BY AGE, ANNUAL, BRITISH COLUMBIA SOURCE: TABLE 14-10-0223-01 & 14-10-0326-01, STATISTICS CANADA
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