These are stories Report on Business is following Tuesday, June 4, 2013.
Manitoba recruits from Europe
Manitoba is trying to help fill a skills shortage by recruiting workers from the crippled countries of Europe.
Provincial officials will be interviewing candidates for its “southern Europe recruitment mission” in Greece, Italy, Portugal and Spain this month, looking for temporary and permanent workers.
Workers interested in the program had to e-mail officials by the end of May.
It’s part of what is known as the Manitoba provincial nominee program, and this recruitment drive in particular is being launched “with the co-operation of Manitoba employers and the Greek, Italian, Spanish and Portuguese cultural communities,” the government says in its pitch to potential workers.
Manitoba is looking for people, between the ages of 21 and 45, for “pre-arranged jobs in industry, business, service, trades and other skilled occupations,” it says, noting the program is based on a reconfigured points system.
“’Friendly Manitoba’ actively seeks immigration applications from educated and experienced workers with job-ready English because our province is facing a shortage of skilled workers,” the government says on its website, citing more than 250,000 job openings in various categories by 2020.
Manitoba boasts an unemployment rate of 5.8 per cent, the third-lowest in Canada behind Saskatchewan and Alberta.
Greece and Spain, of course, are crippled by high levels of unemployment of about 27 per cent, with youth unemployment at 62.5 per cent and 56.4 per cent, respectively.
Portugal and Italy are faring better, but jobless levels are elevated there, too, at 17.8 per cent and 12 per cent.
- The continuing decline of the 'middle-skill' worker
- Spain's jobless rate falls in May, but big picture still gloomy
- European leaders call on business to fix youth unemployment crisis
Canada nixes telecom deal
The Canadian government has rejected a deal between Telus Corp. and upstart wireless carrier Mobilicity, saying it’s committed to a “competitive marketplace and consumer choice.”
“Our government has been clear that spectrum set aside for new entrants was not intended to be transferred to incumbents,” Industry Minister Christian Paradis said today.
As The Globe and Mail's Sean Silcoff reports, Mr. Paradis warned he won't approve any deal that would see the wireless spectrum set aside for new entrants before the five-year moratorium expires.
“Our government will continue to allow wireless providers access to the spectrum they need to compete and improve services to Canadians," he said.
"We are seeing Canadian consumers benefit from our policies and we will not allow the sector to move backwards. I will not hesitate to use any and every tool at my disposal to support greater competition in the market.”
It's the second time in as many days that the government or one of its agencies has moved on an issue dear to the hearts of Canadians.
Yesterday, the telecom regulator unveiled a code of conduct for wireless players that allows consumers to cancel their contracts after two years without incurring fees.
- Ottawa kills Telus-Mobilicity deal
- How Ottawa's plan to foster wireless compeittion sank
- CRTC's new wireless rules let consumers cut the strings on long-term contracts
- Sean Silcoff in ROB Insight (for subscribers): The wireless Plan C is for - and by - consumers
Trade deficit widens
Canadian exporters lost ground in April as imports climbed, leading to a fatter trade deficit for the country.
Exports slipped 0.2 per cent while imports climbed 1.2 per cent, widening the shortfall to $567-million from $3-million in March, Statistics Canada said today.
Notable in today's report is that imports climbed for the fourth month in a row, and stand at a record $40.8-billion. From the United States alone, imports increased 1.9 per cent to also hit a record, at $26.2-billion. Imports of energy products led the gains.
Canadian exports to the United States, the country's biggest market, climbed 1.8 per cent, but those to other nations slipped 5.6 per cent.
"Overall, the rise in two-way trade volumes is encouraging, but the message for the [Canadian dollar] is that we will need a firming in resource prices to bring about the sort of trade surpluses that would sustain a stronger loonie," said chief economist Avery Shenfeld of CIBC World Markets.
CP shares dip
Canadian Pacific Railway Ltd. stock slipped today in the wake of the decision by the man behind CP’s turnaround to sell some 7 million shares.
As The Globe and Mail’s Richard Blackwell and Guy Dixon report, Mr. Ackman’s Pershing Square Capital Management plans to divest up to 7 million shares over six to 12 months, in the wake of the tremendous run-up in the stock.
The shares have tripled in value since Pershing Square’s initial investment, which led to a battle with the CP board and the appointment of Hunter Harrison as chief executive officer.
Mr. Ackman said Pershing Square still expects to be the largest shareholder in the railway, but its stake has swelled to now account for some 26 per cent of the holdings of its funds.
“Although CP’s share price has more than tripled since Pershing first began investing in the name, we view yesterday’s announcement as a slight negative in view of the shorter-than-anticipated timeframe of Pershing’s investment,” said analyst Benoit Poirier of Desjardins.
“Pershing’s typical holding period for an active investment is four years; in the case of CP, it is surrendering a large portion of its holdings well in advance of this timeframe.”
Streetwise (for subscribers)
ROB Insight (for subscribers)
- Canadians still piling on consumer debt - but at a slower pace
- British panel mulls splitting up Royal Bank of Scotland