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Canada Unemployment Rate

Canada Unemployment At 5.2% – Statistics Canada New Report

Last Updated On 8 October 2022, 10:03 AM EDT (Toronto Time)

October 7 – New Statistics Canada report shows that the unemployment rate fell by 0.2 percentage points. Compared to last month, it reduced from 5.4 to 5.2 per cent as fewer people looked for work. 

After rising by 0.5 percentage points in August to 5.4%, the unemployment rate fell to 5.2% in September. The adjusted unemployment rate, which includes people who wanted a job but did not look for one, did not change significantly.

The new report explains the changes in employment activity in the last month. Below is the summary of these changes. 



Summary of changes in employment activity 

The new Statistics Canada report highlights that employment fell for the second consecutive month in young women aged 15 to 24. However, it increased among male youth and core-aged women (25 to 54 years). 

Specifically, employment gains in education services, healthcare and social assistance offset the losses in other services. Other employment loss services include manufacturing, information, culture, recreation, transportation, warehousing and public administration. 

Moreover, the number of employees in the public sector increased in September, partially offsetting declines in July and August. However, employment in the private sector and among self-employed workers remained stable.

Four provinces saw increased employment, led by British Columbia, while Ontario and Prince Edward Island saw declines with fewer working people. 

In terms of wages, the year-over-year wage growth remained above 5 per cent for the fourth consecutive month. Employee hourly wages rose 5.2% (+$1.57 to $31.67) compared with September 2021.  

Nevertheless, the total hours worked declined by 0.6 per cent in September 2022. However, despite a decline of 1.1 per cent since June, total hours worked were up 2.4% year on year. 

In addition, September had just under one million (983,000; 57.5%) people aged 55 to 64 who said their main activity was retirement. 

The employment rate among core-age mothers reached a record high in September. However, mothers with children under 16 were twice as likely (14.9%) to not apply for a job or promotion over the last 12 months compared to their male counterparts (7.1%). 

Other September 2022 trends 

September saw a decrease in the number of people working from home. The proportion of workers who usually work from home fell slightly in September, from 16.8% in August to 16.3%. However, the proportion of workers with hybrid arrangements remained unchanged in September, at 8.6%. 

Moreover, in September, employment rose in British Columbia, Manitoba, Nova Scotia, and New Brunswick. In comparison, fewer people worked in Ontario and Prince Edward Island. As well, employment increased year over year in all provinces. 

Following a decrease in July and little change in August, employment in Ontario fell by 32,000 (-0.4%) in September. With fewer people in the labour force, the unemployment rate remained at 5.8%. 

Specific Ontario sectors experienced job losses, such as manufacturing, scientific, technical services, and wholesale and retail trade. In contrast, more Ontarians worked in education, business, construction, and other support services.

Negligible Employment Changed in September 2022

After declining in August, employment increased (+21,000) in September, with both full-time and part-time jobs remaining stable.

In September, employment among young women aged 15 to 24 fell for the second month in a row, but increased among male youth and core-aged women.

Moreover, the losses in manufacturing, information, culture, recreation, transportation and warehousing, and public administration offset gains in educational services, health care, and social assistance.

The number of public sector employees increased in September, partially offsetting declines in July and August. However, employment in the private sector and among self-employed workers remained stable.

Source: Statistics Canada