Unemployment rate reflects K-shaped recovery
Greater Victoria’s unemployment rate dropped to 7.6% in October from 9.1% the month before, according to Statistics Canada’s latest figures.
The numbers reflect what is now being called a K-shaped economic recovery, with some businesses able to return to pre-pandemic operations and others still facing an uncertain future.
Across Canada, 57% of businesses in the accommodation and food-services sector report they are unable to take on more debt. About one-third of those say, at current levels of business, they will need to consider closing, declaring bankruptcy or reducing staff unless revenue increases in the next six months.
“With finite public resources available, we need to look carefully at the return on investment of government spending,” said Canadian Chamber of Commerce Chief Economist and Vice-President of Policy, Dr. Trevin Stratton. “Some programs are more beneficial than others. Some policies will contribute more to economic growth. Let’s make sure federal spending is focused on quality over quantity.”
The numbers reflect what is now being called a K-shaped economic recovery, with some businesses able to return to pre-pandemic operations and others still facing an uncertain future.
Across Canada, 57% of businesses in the accommodation and food-services sector report they are unable to take on more debt. About one-third of those say, at current levels of business, they will need to consider closing, declaring bankruptcy or reducing staff unless revenue increases in the next six months.
“With finite public resources available, we need to look carefully at the return on investment of government spending,” said Canadian Chamber of Commerce Chief Economist and Vice-President of Policy, Dr. Trevin Stratton. “Some programs are more beneficial than others. Some policies will contribute more to economic growth. Let’s make sure federal spending is focused on quality over quantity.”
