Updated
Updated · continuumeconomics.com · Jul 27
Canada Seen Adding 25,000 Full-Time Jobs in August as Unemployment Holds at 6.5%
Updated
Updated · continuumeconomics.com · Jul 27

Canada Seen Adding 25,000 Full-Time Jobs in August as Unemployment Holds at 6.5%

2 articles · Updated · continuumeconomics.com · Jul 27

Summary

  • 25,000 full-time jobs are forecast to be added in August, offset by a 5,000 drop in part-time work, pointing to another modest gain in overall employment.
  • 6.5% unemployment is expected to hold steady because the labor force is seen rising by 10,000, though economists estimate the underlying rate could edge down to about 6.45%.
  • 5,000 goods-sector jobs are projected to disappear, entirely outside manufacturing and construction, while services are expected to stay firmer with about 35,000 gains including a 5,000 public-sector rebound.
  • 3.4% annual wage growth for permanent employees is expected, down from 3.7%, as base effects turn less favorable even with participation seen unchanged at 65.0% for a fourth straight month.
  • Fresh U.S. tariffs remain the main risk to that momentum, even as Canada’s economy appears to have returned to growth in Q2 and entered Q3 with some carry-through strength.

Insights

Will the looming 50% US tariffs completely derail Canada's fragile job market recovery before the year ends?
Are Canada's steady headline employment numbers masking a hidden crisis for youth and the struggling private sector?
How will AI disruptions and an aging workforce reshape Canada's low-hire economy amidst new trade shocks?