Labour Force Participation Rates are higher in Canada than the U.S. although notice the descending trend and as recently noted Canada relies 2.3 times more on residential and commercial construction than the U.S. does. With a private sector construction industry at a major pivot point, unless government steps up with a lot more construction spending, Canadian Labour should start retraining now.
As I advised above, "Canadian Labour should start retraining now." Lesson #1: How to spot a trap.
There is a big difference between the grunts that work in the trenches to produce goods and services that build an economy and the kings who peer down upon them. The management of Blackberry had a very large incentive to make sure that their jobs would end. Here are the payouts for executives.
- $55.6 million to Thorsten Heins CEO
- $7.9 million to Steve Zipperstein CLO
- $7.7 million to Frank Boulben CMO
- $7.4 million to Kristian Tear COO
- $6 million to Brian Bidulka CFO
Total compensation to the senior business managers: $84.6M
Source and a more granular story at huffingtonpost.ca
If you are part of the 99% labouring at a job and have bought or are contemplating the purchase of real estate via leveraging "cheap" mortgage financing, you should really do an appraisal of what your employment prospects are relative to the amortization period of that very large loan.
What percentage of the 4500 Blackberry employees are going to aggressively market their real estate for sale in an effort to liberate whatever equity they have? As the labour force participation rate falls, so will fundamentally over-priced real estate.