Moving2Canada Jobs Report: July 2018

June was a good month for permanent immigrants to Canada. Immigrant unemployment stood at 5.9%, leaving it below the national average for the first time this year and at the lowest point over the past 12 months. The unemployment rate fluctuated little across all immigrant groups, regardless of nationality.

The Canadian workforce expanded in June with the addition of 32,000 jobs across the country. Employment increased in Ontario, Saskatchewan, and Manitoba. There was little change in the other provinces.

After minor changes over four consecutive months, the unemployment rate in Canada has gone up by 0.2 points to 6% total in June. The unemployment rate rose with a surge of Canadians entering the workforce and engaging with the job market.

Year-on-year employment increased by 215,000, or 1.2%, compared to June 2017, with worked hours up by 1.4% overall.

Positive development for students

During summer, youth aged 15 to 24 who were attending school full time during term and who intend to return to school full time in the fall are joining the workforce, accounting for a chunk of the increase in people looking for work. Nearly two-thirds of students aged 20 to 24 were employed in June.

July 2018 update

New Canadian employment figures are released each month, and you’ll always find the latest data here on our Moving2Canada Jobs Report.

The data below comes from the Labour Force Survey, produced by Statistics Canada.

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Ontario leading the economic growth

Across the provinces, June saw an increase in employment in Ontario (+34,900), Saskatchewan (+8,300), and Manitoba (+4,100). The unemployment rate in Ontario rose despite this significant growth, as a result of more people looking for work.

Though both provinces saw slight increases in unemployment, British Columbia remains the province with the lowest unemployment rate (5.2%), closely followed by Quebec (5.4%). Newfoundland and Labrador remains the province with the highest unemployment rate, standing at 15.5% and up by 1% compared to May 2018.

Industry perspective

The construction and manufacturing sectors, which had been a source of concern among Canadian economists in May, recovered in June. Employment grew by 27,000 in construction, and by 11,000 in manufacturing over the month.

The Canadian service sector declined as employment fell by 14,700, breaking a four-month rise, with jobs lost in trade (-14,000) and accommodation and food services (-15,900).

Wages across industries grew by a healthy 3.6%, adding to the overall positive development of the Canadian economy in June.

Immigrants in a strong position

Unemployment among the permanently settled immigrant population remained the same in June compared to May 2018. For the first time this year, immigrant unemployment is minimally lower than the national average, standing at 5.9% compared to the 6% national average. This also marks the lowest unemployment rate among permanent residents in 12 months and speaks well for the integration of new permanent immigrants into the workforce.

The rate for newer arrivals, landed within the past five years, rose to 9.5%, up by nearly a full percentage point compared to May 2018. New arrivals still tend to be more at-risk of being unemployed than settled immigrants, living in Canada for five to ten years (6.4%) and more than ten years (5.1%).

The unemployment rates by region of origin have changed little in June. Immigrants from North America (4.4%) and Europe (4.5%) are least likely to be unemployed, while immigrants from Africa (8.7%) face the highest risk of being unemployed.

Notice: Immigrant unemployment rates not available in seasonally adjusted statistic.