Author: Quinn Patrick
Canada’s economy lost 42,000 jobs last month, while the unemployment rate remained unchanged at 6.4 per cent. The August level stabilized after it declined by a total of 0.5 percentage points in May, June and July.
Statistics Canada released its latest data on the employment market on Friday, which recorded job losses among several sectors, such as natural resources, utilities and business, building and other support services.
The only area to experience a significant increase in employment gains was manufacturing, which added roughly 22,000 jobs, or a 1.2 per cent increase month to month in August.
However, on an annual basis the sector didn’t change much following decreases earlier this year.
On a year-over-year basis, the economy added about 217,000 jobs in August, marking a one per cent increase. The bulk of that growth was concentrated across health care and social assistance, information, culture and recreation, and transportation and warehousing.
The results fell short of economists’ expectations for August, which projected a gain of 15,000 positions.
Meanwhile, the annual increase in average hourly wages cooled to two per cent last month, down from 2.8 per cent in July and 3.3 per cent in June. The last time the annual wage increase dropped that low was in 2017.
Regionally, Quebec was hardest hit, losing 19,000 jobs, followed by Ontario, with a loss of 18,000.
Statistics Canada noted that industries dependent on U.S. demand for exports continue to face “an uncertain economic context.”
“Mark Carney’s Liberals are destroying jobs with high taxes, red tape, and more bureaucracy,” wrote Conservative Leader Pierre Poilievre in response to the news.
“It’s time to adopt a Conservative Economic Action Plan that saves you money and gets you better paychecks by cutting taxes and red tape on work, investment, housing construction, and energy.”