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About NortheastAs its name implies, Northeast lies in the northeast corner of the province. It shares a border with Alberta and Yukon, and is part of the Peace River Basin. There are two regional districts in Northeast:
The towns of Fort Nelson, Fort St John and Hudson’s Hope all owe their existence to the lucrative fur trade during the 18th and 19th centuries. Homesteading in the Peace River area began in the early 20th century with new communities such as Pouce Coupe and Dawson Creek popping up along the river. The extension of the Alaska Highway into the region in 1941 also brought people into the area.
The peopleNortheast was home to 67,100 British Columbians in 2008. It is the most prosperous northern region, largely due to its position as the centre of BC’s oil and gas industry. The Northern Rockies regional district has a population of just 6,300 people, three-quarters of whom live in Fort Nelson (population 4,700). Most of the region’s residents are located in the Peace River regional district (population 60,700), where the biggest urban centres are Fort St John (18,800) and Dawson Creek (11,400). All of the other towns in the region have a population of less than 3,000. There are more than twice as many children as senior citizens living in Northeast
Like other northern areas, the region has a comparatively young population. Seven out of 10 residents are of working age and nearly 22% of the region’s residents are children. Seniors make up just 8% of the region’s population. Northeast is home to fewer senior citizens and more children, relative to its population, than any other region of the province. Where are the people located?More than a third of the region’s population lives outside municipal boundaries
More than a third (36%) of the region’s residents lives in rural areas (outside municipal boundaries). Although Northern Rockies has a very small population, three-quarters of the people live in the town of Fort Nelson, so the region has a proportionally larger urban population (74%) than the more populous Peace River regional district. In Peace River, which is home to 91% of the region’s residents—and the same percentage of the region’s workforce—just over a third (37%) of the population lives in a rural area. Nine out of 10 workers are located in the Peace River regional district
The workforceThere were 38,000 people working in Northeast in 2008. Of these, 83% had full-time jobs, a larger percentage than in any other region of the province. The average rate of full-time employment for all of BC was 80%. Self-employment is quite common in the region, with nearly 21% of the workforce being self-employed. This compares to just under 19% for the province as a whole. Women make up a much smaller share (43%) of the workforce in Northeast than in any other region. The average for all of BC is 47%. The relatively low percentage of female workers is likely a reflection of the region’s industrial structure, which is dominated by mining and forestry, industries that usually attract more male than female workers. As well, males outnumber females in the region. There were 22,300 working-aged women living in Northeast in 2008, considerably less than the male population (24,700) aged 15 to 64. Men significantly outnumber women in Northeast’s workforce
Northeast’s unemployment rate is usually, but not always, lower than BC’s
Unemployment rates in Northeast are generally lower than in most other parts of the province. Between 1995 and 2008, the jobless rate in Northeast averaged 5.7%, well below the 7.2% rate for all of BC. In fact, Northeast’s average jobless rate was lower than in any other region during this period. However, there is a lot of variability in the region’s unemployment rate, and it has not remained below the provincial rate throughout the entire period. For example, around the turn of the century, the jobless rate in Northeast was higher than BC’s. The economyGoods producing industries account for a larger share of total employment in Northeast than in any other region. Thirty-nine percent of the region’s workforce was employed in the goods sector in 2008. This compares to 22% for all of BC. Four out of 10 people work in goods-producing industries
The importance of the goods sector in Northeast’s economy is largely due to its oil and gas industry. Virtually all of BC’s oil and gas resources are found in this region. The province is not a major producer of oil, but natural gas is produced in significant quantities from gas fields in northeastern BC. Mining, oil & gas extraction is the biggest employer in the region
One in five people working in the region is employed in forestry, fishing and mining. Most of these workers are engaged in primary mining activities, but a small number work in forestry and logging. Unlike other types of mining, gas production is not labour intensive. Most of the work associated with extracting gas from the ground is done by pumps and other equipment, so employment in the industry only partly reflects the importance of natural gas in Northeast’s economy. Most of the mining jobs are in “services incidental to mining.” These include people who work in exploration and drilling activities rather than primary extraction. Exploring, drilling for, and extracting natural gas isn’t the only mining activity in the region. Coal mining operations in the region include the Brule, Trend and Wolverine mines, which are located near Willow Creek and Tumbler Ridge. Other mines include the Kemess gold-copper mine and Fireside, which is a barite mine located just south of the Yukon border. Eleven percent of the region’s workers are employed in construction, which includes engineering construction activities related to the oil and gas industry as well as building construction activities. Other goods-producing industries account for smaller shares of total employment in the region. Manufacturing, which employs just over 3% of the workforce, is dominated by the forest products industry. Wood, paper, and food & beverage manufacturing together employ eight out of every ten manufacturing workers in Northeast. Although agriculture employs just under 3% of the region’s workers, farming has been an important activity in the Peace River area for many years. It’s primarily a grain growing area (canola, wheat and barley are all produced in the region), but other crops include alfalfa, hay and forage seeds. Cattle ranching and farming, as well as hog and pig farming also occur in the region. The WAC Bennett Dam, which is BC’s biggest hydroelectric dam, is located in Northeast, as is the Peace Canyon Dam, also one of the biggest generating facilities in the province. Wholesale & retail trade, health & social assistance and education are the main service-sector employers
In the service sector, the biggest employers are wholesale & retail trade (13%), health & social assistance (9%), and education (6%). Hospitals and other medical care facilities are located in most of the urban centres in the region, and with a relatively young population, there is a need for teachers and other workers in the education industry. The Northern Lights College, which has campuses at Atlin, Chetwynd, Dawson Creek, Dease Lake, Fort Nelson, Fort St. John, and Tumbler Ridge provides technical training to students and university transfer programs to students in the area. How does the region’s economic structure compare to BC’s?BC’s natural gas production comes from Northeast, and this is reflected in the region’s share of total employment in mining-related activities
Northeast is the only gas-producing region in the province, and this is reflected in the dominant role it plays in BC’s mining industry. With less than 2% of the total BC workforce located in Northeast, 17% of the jobs in forestry, fishing and mining are in this region. Most of them are in the oil & gas sector. The region’s higher-than average share of total goods sector employment also reflects the concentration of oil & gas-related activities in Northeast. For most other industries, the region’s share of BC employment is less than its share of the total workforce. What’s happened since 1995?Northeast’s population is growing, but not as fast as in other parts of the province
Northeast’s population has increased 6% since 1995, less than half the 16% increase in the province’s population over the same period. As a result, the region’s share of BC’s total population has been falling. It stood at 1.5% in 2008. As is the case in other parts of the province, the age structure in Northeast is changing. Its senior population has been growing faster than other age groups, expanding 45% since 1995. Over the same period, the number of working-aged residents has increased 11%. However, there are fewer children living in the region—the population aged 15 and under has declined 13% since 1995. Despite these changes, Northeast is still a place where there are a lot of young people. Children (22%) and working-aged adults (70%) make up a bigger share of the population in Northeast than in any other region of the province. The general trend in both the goods and service sectors is upward, but job growth has been volatile
Employment in Northeast has increased 17% since 1995, nearly three times the increase in its population (6%) over this period. Despite this, job growth in the region has not kept pace with employment growth in the province as a whole (+30%). Employment in the goods sector has increased significantly since 1995, largely due to strong growth in construction and mining
Employment trends have been more volatile than in the province as a whole, partly due to the region’s dependence on the goods sector, which tends to go through boom and bust cycles. Total employment in the goods sector has increased 27%, with particularly strong job growth occurring in construction (+95%) and forestry, fishing & mining (+48%). However, the number of manufacturing jobs has declined 54%. The number of service sector jobs has also increased, but at a slower pace
Over the longer run, employment in Northeast’s service sector has fluctuated, but increased 11% between 1995 and 2008. Employment in health & social assistance has more than doubled (+106%) since 1995. Other services, which includes repairs, maintenance and personal services (+31%), has also seen strong job growth during this period, as has transportation & warehousing (+17%). With a relatively small number of people living in the area, the sample used to estimate employment and other labour force characteristics is likely to be more subject to variability than is the case in more populous regions. For this reason, it’s better to focus on long-term trends in the data instead of year-to-year fluctuations. What’s the outlook to 2013?Employment and population growth in Northeast is expected to continue to be slower than in the province as a whole. The region’s share of total employment is forecast to inch down to 1.8%, but job growth in the goods sector is expected to be somewhat faster than in other parts of BC. By 2013, it is forecast to comprise 3.3% of the BC total, more than double the share in the service sector (1.5%). Population and employment growth in the region are expected to be slower than in the province as a whole
Table 13
Data Source: Statistics Canada & BC Stats
Table 14
Data Source: Statistics Canada
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The northern Rockies are rugged and relatively dry throughout much of the year, receiving rain only at the peak of the summer. Winters can be extremely cold. Further south, the Peace River area is characterized by rolling hills and grasslands.
