Hours worked

 

Understanding hours worked

What are hours worked?

For labour market information purposes, hours worked refer to the total number of hours worked in a typical week. It does not consider sick time, vacation leave, or overtime.

As an indicator, hours worked provide insight into how workers supply labour and how employers structure work in response to the current labour market conditions. Workers often choose jobs in part based on whether the number of hours offered aligns with their needs. Not every employee works (or wants to work) the same number of hours.

What do hours worked tell us about imbalances?

Hours worked provide insight into how intensively labour is being utilized at a given time and in a given region. In this way, it complements indicators such as the unemployment rate by showing how effectively labour is used.

For example, if two provinces had identical unemployment, vacancy, wages paid and participation rates, we might assume their labour markets were “equally balanced”. However, if one province has significantly lower hours worked, this may indicate that the total amount of labour being supplied or used in that province is lower.

In this situation, workers who prioritize higher total earnings may be more inclined to move to the province with higher average hours worked (and therefore higher potential earnings). Observations like this may also prompt policymakers to examine other indicators, such as long-term unemployment or underemployment, to identify possible structural issues in the labour market. 

Hours worked

This view shows average weekly hours worked, highlighting how labour is utilized across regions and over time.

Table notes

  • Hours worked refers to the average number of hours worked in a typical week.
  • Data is sourced from Statistics Canada’s Labour Force Survey (LFS).
  • Estimates exclude time not worked, such as vacation, sick leave, and other absences.
  • Differences in hours worked may reflect variations in part-time and full-time employment, industry composition, or worker preferences.
  • Hours worked should be interpreted alongside other indicators, such as employment, wages, and participation rates, to better understand labour market conditions and potential imbalances.
  • Data is only available for provinces; as a result, the average presented for Canada as a whole reflects only these geographies. 

Labour Market Imbalances Dashboard

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Understand the key indicators used in the dashboard, including unemployment, job vacancies, participation rates, and the unemployment-to-vacancy ratio (imbalances ratio). The glossary explains what each metric measures and how it relates to labour market imbalances.

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