Economy added 35,000 jobs in March, unemployment rate still hovering near record low

Technology

Published 06.04.2023

Economy added 35,000 jobs in March, unemployment rate still hovering near record low

OTTAWA –

The Canadian financial system added 35,000 jobs final month, whereas the unemployment charge held regular at 5 per cent.

Statistics Canada mentioned Thursday the job positive aspects had been made primarily within the non-public sector. Employment was up in transportation and warehousing, business, constructing and different assist providers, in addition to finance, actual property, rental and leasing.

Meanwhile, jobs had been misplaced in development, different providers and pure sources.

As employers saved their hiring urge for food, wages continued to develop in March. Average hourly wages rose 5.3 per cent on an annual foundation.

The Canadian labour market has been tight for months, regardless of excessive rates of interest elevating the price of borrowing for individuals and companies.

March marked the fourth consecutive month the unemployment charge has held at 5 per cent, hovering close to document lows.

The Statistics Canada report confirmed those that are unemployed had been much less prone to keep out of labor for a very long time. The proportion of those that had been unemployed in March that had been out of labor for 27 weeks or extra was 16 per cent, down from 20.3 per cent a yr earlier.

However, the labour market tightness is not anticipated to final ceaselessly. The Bank of Canada’s aggressive charge hikes since March 2022 are anticipated to weigh on the financial system, with economists forecasting a major slowdown this yr.

Recent surveys launched by the central financial institution earlier this week confirmed customers and companies are getting ready for that slowdown. Consumers mentioned they’re planning to drag again on spending, whereas companies are anticipating gross sales to sluggish.

That pullback is anticipated to filter via to the labour market and result in an increase in unemployment.

And whereas companies continued to report labour shortages as a high concern, the surveys confirmed there are indicators that the labour market is easing.

Here’s a fast have a look at Canada’s March employment (numbers from the earlier month in brackets):

Unemployment charge: 5.0 per cent (5.0)

Employment charge: 62.4 per cent (62.4)

Participation charge: 65.6 per cent (65.7)

Number unemployed: 1,053,000 (1,066,400)

Number working: 20,088,800 (20,054,100)

Youth (15-24 years) unemployment charge: 9.2 per cent (9.9)

Men (25 plus) unemployment charge: 4.4 per cent (4.3)

Women (25 plus) unemployment charge: 4.1 per cent (4.2)

Here are the jobless charges final month by province (numbers from the earlier month in brackets):

Newfoundland and Labrador 10.3 per cent (9.9)

Prince Edward Island 6.6 per cent (7.3)

Nova Scotia 5.7 per cent (5.7)

New Brunswick 5.8 per cent (6.3)

Quebec 4.2 per cent (4.1)

Ontario 5.1 per cent (5.1)

Manitoba 4.7 per cent (4.7)

Saskatchewan 4.7 per cent (4.3)

Alberta 5.7 per cent (5.8)

British Columbia 4.5 per cent (5.1)

Statistics Canada additionally launched seasonally adjusted, three-month shifting common unemployment charges for main cities. It cautions, nonetheless, that the figures might fluctuate extensively as a result of they’re based mostly on small statistical samples. Here are the jobless charges final month by metropolis (numbers from the earlier month in brackets):