Canada’s unemployment rate ticks up to 5.5 per cent in July

OTTAWA –

Canada’s unemployment price rose once more final month, because the economic system struggles to create sufficient jobs to match the tempo of inhabitants progress.

Statistics Canada reported Friday employment was little modified in July, falling by 6,400 jobs.

Meanwhile, the unemployment price ticked as much as 5.5 per cent amid inhabitants progress.

As Canada’s inhabitants continues to develop quickly, rising unemployment indicators the economic system is not creating sufficient jobs to soak up a bigger workforce.

July marks the third consecutive month that the unemployment price has risen, signalling some loosening within the labour market.

The federal company says job losses had been led by the development trade, whereas the best job positive factors had been made in well being care and social help.

Rising unemployment comes as excessive rates of interest weigh on the economic system.

The Bank of Canada’s key rate of interest sits at 5.0 per cent, the very best it has been since 2001.

High rates of interest are making borrowing dearer for each companies and shoppers, which in flip is anticipated to result in job losses.

The central financial institution is hoping to see the economic system decelerate as it really works on getting inflation again to 2 per cent.

It’s cited concern concerning the tempo of wage progress as properly, which rebounded in July, rising 5.0 per cent yr over yr.

A fast take a look at Canada’s July employment (numbers from the earlier month in brackets):

• 
  Unemployment price: 5.5 per cent (5.4)
• 
  Employment price: 62.0 per cent (62.2)
• 
  Participation price: 65.6 per cent (65.7)
• 
  Number unemployed: 1,166,800 (1,147,100)
• 
  Number working: 20,166,400 (20,172,800)
• 
  Youth (15-24 years) unemployment price: 10.2 per cent (11.5)
• 
  Men (25 plus) unemployment price: 4.6 per cent (4.4)
• 
  Women (25 plus) unemployment price: 4.8 per cent (4.4)