Rural-area employment rebounding faster than in cities

Employment in rural Ontario continues to rebound from the pandemic at a faster rate than in the province’s urban centres, new figures show.

Findings released by the Rural Ontario Institute show rural employment increased by 7.6 per cent from May to June compared to a 6.3 per cent increase in the province’s larger cities.

“Rural labour markets were closing the COVID-19 employment gap quicker than in urban areas,” said Norman Ragetlie, executive director of the nonprofit agency, which aims to develop leaders and facilitate collaboration on issues facing rural and northern Ontario.

Rural areas also are seeing a lower employment gap compared to June 2019. The COVID-19 employment gap was minus 5.1 per cent in rural and small towns and minus 9.2 per cent in metropolitan centres.

“It is concertedly better in rural areas,” Ragetlie said.

The institute’s summary pulls data from Statistics Canada’s Labour Force Survey. Rural and small towns refer to places with a population of 10,000 or less.

Despite small towns in Ontario performing better job-wise, there are still many rural industries hurting.

The transportation and warehousing sector shows a 36 per cent drop in employment, for a loss of 44,000 jobs, from the same time last year. Food service and accommodation was down 21 per cent, or 35,000 jobs.

“We’re now into Phase 3 (so) I would expect that the accommodation and food service gap would start to catch up,” Ragetlie said.

Though the numbers show agriculture employment down 21 per cent, Ragetlie said that doesn’t give the full picture. Agriculture had a banner year in 2019, so a drop in numbers this year, particularly with the pandemic, doesn’t mean the industry isn’t still performing well.

ROI’s report also shows the female labour force has been harder hit in rural settings. In particular, women 15 to 24 and 55-and-older have seen the biggest job losses.

This reporting is funded by the Canadian government through its Local Journalism Initiative.