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Canada’s unemployment rate finally edged down to 6.9% in October 2025, easing from the 7.1% level that had held steady through August and September – the highest since 2016 outside of the pandemic years. Youth unemployment also improved, dropping to 14.1%, the first decline since February. It’s still high by historical standards, but after months of climbing, even a small step in the right direction feels significant.

After a sluggish summer, the latest Labour Force Survey from Statistics Canada brings a flicker of optimism – employment rose again in October 2025, marking the second month of solid growth. The economy added 67,000 new jobs, far surpassing expectations.

Unlike September, where growth leaned heavily on full-time roles, this month’s increase was driven by part-time work (+85,000), while full-time employment held steady. Still, the broader trend suggests a labour market regaining its balance after a slow summer.

The unemployment rate fell slightly to 6.9%, down from 7.1% in September, the first real sign of easing after months stuck at a post-pandemic high. And while challenges remain, the gains show that parts of the economy are still creating opportunities.

Key Takeaways

Here’s what the data is showing in this month’s labour market data from Statistics Canada:

  • Unemployment rate: Down to 6.9%, after holding at 7.1% for two straight months.
  • Youth unemployment: Improved to 14.1%, marking the first decline since February.
  • Part-time employment: Up 85,000, while full-time work stayed steady.
  • Wages: Average hourly wage rose 3.5% year-over-year to $37.06.
  • Industries with growth: Retail, transportation, recreation, and utilities led the way.
  • Construction: Fell by 15,000 jobs, reflecting fewer housing projects and rising costs.
  • Ontario: Drove most of the gains, adding 55,000 jobs, while Newfoundland and Labrador saw a smaller rebound (+4,400).
  • Labour disputes: Ongoing strikes, especially among teachers in Alberta, reduced overall work hours.

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Regional Insights from the October 2025 Labour Market Data

Unemployment declined modestly across much of Canada in October, with several provinces seeing improvements after months of stagnation. The national unemployment rate fell to 6.9%, and while some regional variations remain, most provinces held steady or saw slight progress.

Ontario led the way with +55,000 jobs (+0.7%), marking its first real increase since June. The province’s unemployment rate fell to 7.6%, showing renewed momentum after months of uncertainty tied to trade and manufacturing slowdowns.

Newfoundland and Labrador also saw an encouraging rebound, adding +4,400 jobs (+1.8%) after two months of decline. Despite these gains, its unemployment rate remained high at 10.1%, highlighting ongoing regional challenges.

On the flip side, Nova Scotia lost -4,400 jobs (-0.8%), pushing its unemployment rate up to 6.7%, while Manitoba shed -4,000 jobs (-0.5%), though its rate actually went down to 5.8% because fewer people were looking for work.

Elsewhere, Quebec held steady for a fourth consecutive month, with unemployment dipping to 5.3%, now one of the lowest in the country. Alberta’s overall employment level was largely unchanged, though widespread teacher strikes reduced total work hours during the survey week.

Newcomers who are moving to Canada soon and are considering Toronto as a landing destination may be wise to look outside of Toronto for better job prospects, especially outside of in-demand sectors.

Provincial Unemployment Rates Across Canada in October 2025

Here are the provincial unemployment rates in Canada, based on StatsCan data from October 2025:

  • Alberta: 7.8%

  • British Columbia: 6.6%

  • Manitoba: 5.8%

  • New Brunswick: 7.9%

  • Newfoundland and Labrador: 10.1%

  • Nova Scotia: 6.7%

  • Ontario: 7.6%

  • Prince Edward Island: 8.5%

  • Quebec: 5.3%

  • Saskatchewan: 5.5%

Changes in Provincial Unemployment from September to October 2025

 

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Immigration Spotlight: Financial Pressures Persist for Many Canadians

The latest Statistics Canada data shows that financial strain is easing slightly, but it’s far from over. In October 2025, about 27.7% of Canadians aged 15 and older lived in households struggling to cover essentials like housing, food, and transportation – down from 35.5% two years ago, but still more than one in four.

Renters remain under the most pressure, with 37% reporting financial difficulty compared to 23.6% of homeowners. Both groups improved slightly over the year, but affordability remains one of Canada’s biggest hurdles.

The numbers also reveal deep divides: youth (31%) and single parents (46.8%) face the toughest financial situations, while those aged 55 and older are faring better at 22.5%. Unsurprisingly, areas with higher unemployment, like Oshawa, Barrie, and Toronto, saw the most financial strain, while Québec City and Halifax reported the least.

For newcomers, it’s a reminder that landing a job doesn’t always mean instant stability. Costs are still high, especially in major cities, so planning around affordability and looking at smaller, growing regions can make all the difference.

Expert resources to help immigrants get jobs in Canada

Canada’s job market provides a wealth of opportunity for newcomers, but it is only that — an opportunity.

To take full advantage, recent and prospective immigrants can leverage free government-funded resources and programs. We recently partnered with Canada InfoNet, a government-funded pre-arrival employment support program, to bring you two expert guides on transitioning to a career in Canada:

The outlook on Canadian construction and infrastructure

Ruairi Spillaine, Outpost Recruitment and Moving2Canada founder, analyzes what’s happening in the construction sector in Canada.

“Procurement of building materials during a potential trade war is going to create pandemic-style escalations in a construction sector that is already struggling with a prolonged period of higher rates. The addition of tariffs isn’t good news for the construction sector in Canada or the US

Canada's job market: Ruairi Spillane, founder of Outpost Recruitment
Moving2Canada and Outpost Recruitment Founder, Ruairi Spillane

 

If you are interested in working in Canada’s construction sector, Outpost helps motivated candidates find suitable jobs in Canada.

The agency works with general contractors, subcontractors, developers, and consultants who are hiring across senior management, operations, project management, site, design, quality, and commercial personnel.

Outpost Recruitment is actively looking for candidates for projects across Canada. View the latest job postings here.

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How to get a job in Canada

If you’re looking for a job in Canada here are some steps you can take to land that sweet, sweet Canadian job offer.

Here’s a popular webinar from recruitment expert and Moving2Canada founder, Ruairi Spillane, about how to create the best resume for the Canadian jobs market:

New and improved Jobs Board

We have worked hard over recent weeks to ramp up the number and range of job postings on our Jobs Board.

We also have a number of other resources for helping you find your career in Canada. You’ll find broad-stroke information that will arm you with the knowledge you need to succeed, as well as industry-specific insights into finding jobs by industry, such as teaching.

Want to dig deeper into the Canada Jobs Report data? Try these interactive tools, courtesy of StatsCan.

 

Join the Moving2Canada Community

We have helped thousands of workers worldwide navigate the job search, immigration and settlement process in Canada.
Get job hunting resources, application checklists, exclusive offers from our partners, and much more just by joining the Moving2Canada community.

About the author

Stephanie Ford profile picture

Stephanie Ford

She/Her
Finance, Law and Immigration Writer
Stephanie is a content creator who writes on legal and personal finance topics, specializing in immigration and legal topics. She earned a Bachelor of Laws and a Diploma in Financial Planning in Australia. Stephanie is now a permanent resident of Canada and a full-time writer at Moving2Canada.
Read more about Stephanie Ford
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