Employment
Petroleum and Coal Products Manufacturing
(NAICS 324)
This section reviews trends in employment for Canada's Petroleum and Coal Products Manufacturing (NAICS
324) subsector between 1994 and 2003.
The data is obtained from Statistics Canada's Annual Survey of
Manufactures (ASM) and covers incorporated establishments with employees
primarily engaged in manufacturing and with sales of manufactured goods equal
to or greater than $30,000, herein, referred to as principal
establishments. Thus, unless otherwise stated, it would exclude
non-employers, unincorporated establishments as well as establishments where
manufacturing activity is minimal.
Because of major conceptual and methodological changes to the Annual Survey
of Manufactures made in the year 2000, the reader should exercise caution
when interpreting data and subsequent rates of change between the years 1999
and 2000. The magnitude of the effect from these changes on the statistics
from the Annual Survey of Manufactures will differ between industries.
It should be noted that, starting in 2000, the Annual Survey of
Manufactures no longer collects data on Head Offices.
This will affect the following variables:
- the number of administration employees;
- the total number of employees;
- the wages paid to administration employees;
- the total wages paid to all employees;
- the cost of materials and supplies and goods for resale;
- total revenues (i.e. the value of shipments and other revenues);
- total value-added.
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Position in NAICS Hierarchy |
Canada's Petroleum and Coal Products Manufacturing (NAICS 324) subsector is comprised of the following industry groups :
It is part of the Manufacturing (NAICS 31-33) sector.
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Employment within the manufacturing sector is separated into two major
categories: production workers and non-production workers. Non-production
workers are often called administrative workers and this convention is
adopted on this site.
Production employees include those employees engaged in
processing, assembling, storing, inspecting, handling, packing, maintenance,
repair, janitorial, watchmen services and working foremen.
Administrative employees include all employees that are not
involved directly in production and related manufacturing activities. Examples
include those involved in management, personnel, secretarial, sales, finance
and other like activities.
For manufacturing industries, increased domestic production may bring about an
increase in employment. However, this can be offset by improvements in
technology which improve labour productivity (analysed in the performance section) resulting in a
lower demand for labour. In addition, changes in contracting out practices or
in the purchase of pre-processed components/materials may also affect the
demand for workers.
Employment statistics obtained from the Annual Survey of Manufacturers
(ASM) are annual averages as part-time and temporary employees are
included as are employees absent with pay. On the other hand, contract workers,
company pensioners, outside directors of incorporated companies and persons
working on a full commission basis are excluded.
Employment by Type Principal Establishments** 1994-2003 Petroleum and Coal Products Manufacturing (NAICS 324) |
Type of Employee |
Number of Employees |
% of Total 2003 |
CAGR* 1994-2003 |
% Change 2002-2003 |
1994 |
2003 | Production | 7,767 | 6,947 | 66.2% | -1.2% | -4.6% | Administrative | 6,905 | 3,542 | 33.8% | -7.2% | 0.7% | | Total | 14,672 | 10,489 | 100% | -3.7% | -2.9% | | Notes: * Compound Annual Growth Rate ** Incorporated establishments with employees, primarily engaged in manufacturing and with sales of manufactured goods equal or greater than $30,000 |
The total number of employees for the Petroleum and Coal Products Manufacturing subsector
decreased from 14,672 workers in 1994 to 10,489
workers in 2003, or at a compound annual growth rate of -3.7%
over this time span. There was a decrease in employment between
2002 and 2003.
By comparison, total employment in the Manufacturing
sector showed an increase of by 2.1% per annum
over the 1994-2003 period and a decrease of -0.8% between
2002 and 2003.
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Employment by Type of Employee
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Breaking employment into its two principal components, the number of production
employees in the Petroleum and Coal Products Manufacturing (NAICS 324) subsector
decreased from 7,767 workers in 1994 to 6,947
worker in 2003, or at a rate of -1.2% per year on average.
There was a decrease of -4.6% in the last year.
Correspondingly, the number of administrative employees in the Petroleum and Coal Products Manufacturing
subsector decreased from 6,905 workers in 1994
to 3,542 workers in 2003, or at an average of -7.2%
per annum. There was an increase of 0.7% over the course of
most recent year.
It should be noted that, starting in 2000, the Annual Survey of
Manufactures no longer collects data on Head Offices.
This may result in a decrease in the number of administrative employees
surveyed.
Number of Employees by Type
Principal Establishments
1994-2003
Petroleum and Coal Products Manufacturing
(NAICS 324)
For the Petroleum and Coal Products Manufacturing subsector, the percentage of employees that
are production workers increased from 52.9% in 1994 to
66.2% in 2003. As a result, there was a relative decrease in the
proportion of administrative workers.
This can be compared to the Manufacturing Sector as a whole
where 75.9% of employees were production workers in 1994
compared to 77.6% in 2003. This proportion
increased at an average rate of 0.3% over the
1994-2003 period and it decreased by -0.5% in
2002-2003.
Several factors may contribute to decreases in the proportion of administrative
workers. For instance, a reorganisation of the work force or technological
improvements may result in a lower demand for administrative workers. Or again,
changes would be expected if a significant proportion of establishments within
an industry elects to purchase some services rather than perform them in-house.
Changes in these ratios over time could result from a number of factors.
First, the number of production workers in relation to the total may have
decreased for a number of reasons, e.g. increased reliance on contract
employees.
Second, the composition of the non-production cohort may have been
transformed. The non-production workers include managers, administrators and
professions such as engineers and computer and research scientists. As modern
industries become more knowledge intensive it is possible that this component
of the work force may have grown in significance.
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