Canada Continues To Emerge From COVID-19 Crisis As Unemployment Falls

Canada Continues To Emerge From COVID-19 Crisis As Unemployment Falls
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Employment rose by 94,000 and the unemployment rate fell to 7.5 per cent as the Canada jobs picture continued to improve in July, in the wake of the COVID-19 crisis. 

The Statistics Canada Labour Market Survey shows that two months of growth in June and July totalled 325,000 jobs, putting Canada just 246,000 jobs, or 1.3 per cent, behind the pre-coronavirus February 2020 level.

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Young people aged 15 to 24 and core-aged women aged 25 to 54 spearheaded the gains.

Employment among young people grew by 62,000, all in part-time jobs. The numbers are now at pre-pandemic levels for young men, and nearing that figure for young women.

Core-aged women saw employment rise by 30,000 jobs, with all the gains in full-time work. Overall jobs for both sexes in the 25 to 54 age group are now 124,000 behind pre-pandemic levels.

What Are The Labour Force Survey Highlights?

Unemployment rate (%) 7.5
Employment rate (%) 60.3
Labour force participation rate (%) 65.2
Number unemployed 1,521,400
Number working 18,883,900
Youth (15-24) unemployment rate (%) 11.6
Men (over 25) unemployment rate (%) 7.1
Women (over 25) unemployment rate (%) 6.4

Source: Statistics Canada

Provincial Canada Jobs Picture

Ontario led the way in employment gains in July, adding 72,400 jobs, including 49,000 in the Toronto area. The unemployment rate fell 0.4 percentage points to 8 per cent.

Manufacturing led the gains, while accommodation and food services and wholesale and retail trade also added jobs.

Alberta added 12,300 jobs, for an unemployment rate of 8.5 per cent.

Manitoba saw employment increase by 7,400 in July, and the unemployment rate dropped 1.5 percentage points to 6.1 per cent. Gains were predominantly in accommodation and food services, and information, culture and recreation.

Employment in Nova Scotia increased by 3,700, and the unemployment rate dropped 0.6 percentage points to 8.4 per cent. All of the gains were in full-time work and were mostly in health care and social assistance.

Unemployment Rates In Canada’s Provinces

Jobs change in last month Unemployment rate (%)
British Columbia -3,100 6.6
Alberta 12,300 8.5
Saskatchewan -4,500 7.0
Manitoba 7,400 6.1
Ontario 72,400 8.0
Quebec 7,500 6.1
New Brunswick -2,500 9.3
Nova Scotia 3,700 8.4
Prince Edward Island 1,100 9.6
Newfoundland & Labrador -200 12.7
CANADA 94,000 7.5

Source: Statistics Canada

Canada Jobs By Industry

July’s employment gains were focused on the private sector, where jobs grew by 123,000. 

The gains were also mainly in full-time work, where the 83,000 jobs added was the first increase since March 2021. Public sector jobs fell by 31,000.

All of the employment gains were in the services-producing sector (+93,000), with increases recorded in accommodation and food services (35,000), and finance, insurance, real estate, rental and leasing (15,000).

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