Statistics Canada published on July 8, 2022 about a new labour survey analyzing the Canadian labour market for June.
According to the new report, the unemployment rate in Canada hit a new all-time low of below 5% in June. Despite a decrease of 43,000 jobs in Canada, unemployment fell by 0.2 percentage points to 4.9 percent, as fewer people were looking for employment.
In five out of 10 provinces, the unemployment rate was less than 5 percent. In fact, it was as low as 4% in Saskatchewan and Manitoba. There was a decline in employment among workers aged 55 and over (-51,000; -1.2%). A similar pattern was observed among the youth aged 15-24 and the core-age population aged 25-54.
There was a decline of 76,000 jobs in the services-producing sector in June (-0.5%), affecting several industries, including retail. Also, employment in the goods-producing sector increased by 33,000 (+0.8%) in June. The total number of hours worked increased by 1.3%.
On a year-over-year basis, average hourly wages increased 5.2% to $31.24 in June, up from 3.9% in May.
This is great news for the Canadian economy and workers across the country. With such low unemployment rates, employers will have a hard time finding workers and may be forced to raise wages to attract and retain employees. This could lead to increased inflationary pressures in the economy.
The low unemployment rates are also a sign that the Canadian economy is humming along nicely. With more people working, there is more money being circulated and this can help to drive economic growth.
So, what does this all mean for you? If you're looking for a job, now is a great time to be job hunting in Canada! Employers are desperate for workers and you may be able to negotiate a higher wage than you would have just a few months ago. If you're already employed, enjoy the good times while they last! Low unemployment rates won't last forever and eventually the economy will slow down again. Enjoy the ride while it lasts!