Canada lost 68,000 jobs in September, pushing the unemployment rate to 6.5 percent as employment fell for a second straight month, followed by a loss of 42,000 jobs in August. Together, the two months erased more than half the 181,000 jobs gained between April and July.
September’s losses were split between full-time employment, which fell by 35,000, and part-time employment, down 33,000. The unemployment rate increased by 0.1 percentage points from August, while the proportion of people aged 15 and older who were employed fell to 60.6 percent.
Public-sector employment declined by 70,000, its fourth consecutive monthly decrease. The sector employed 119,000 fewer people than a year earlier, with most of that decline in educational services.
Private-sector employment was little changed for the second consecutive month. Self-employment fell by 23,000.
Young people bore much of the September decline. Employment among those aged 15 to 24 dropped by 48,000, bringing losses over two months to 67,000 and offsetting gains recorded earlier in the spring and summer.
The youth unemployment rate remained largely unchanged at 13 percent because fewer young people were also participating in the labour market. The number working or looking for work fell by 50,000 in September. Those who are neither employed nor searching for work are excluded from the unemployment rate.
Employment among women aged 25 to 54 fell by 28,000, while more women in that age group searched for work. Their unemployment rate rose to 5.3 percent from five percent.
Employment among men aged 25 to 54 held steady. Their unemployment rate fell to 5.8 percent from six percent as the number looking for work edged down.
Finding a job was harder than a year earlier. Among people unemployed in August, 30.6 percent had found work by September, down from 32.8 percent a year earlier and below the average of 36.5 percent for the same period between 2017 and 2019.
The layoff rate remained close to its year-earlier level and pre-pandemic average.
Educational services lost 35,000 jobs in September and employed 67,000 fewer people than a year earlier. Quebec, Ontario and Alberta accounted for most of the annual decline.
Health care and social assistance employment fell by 23,000, its first monthly decrease since December 2022. The industry still employed 93,000 more people than a year earlier, making it the largest contributor to annual employment growth.
Manufacturing lost 13,000 jobs after an increase of 22,000 in August. Other services, including repair and maintenance and personal and household services, gained 17,000.
Quebec recorded the largest provincial employment decline, losing 49,000 jobs. Its unemployment rate rose 0.4 percentage points to six percent. Employment in the province has fallen by 130,000 since January.
British Columbia lost 20,000 jobs, while Ontario’s employment edged down by the same amount. Unemployment rates were little changed at 6.4 percent in British Columbia and seven percent in Ontario.
Alberta gained 23,000 jobs, and its unemployment rate fell to 6.4 percent from 6.8 percent. Employment also increased in Newfoundland and Labrador and Prince Edward Island, while Manitoba lost 4,400 jobs.
National labour-force participation fell to 64.8 percent, its lowest level since December 1997, excluding 2020 during the COVID-19 pandemic.
People aged 65 and older made up 23.2 percent of the population aged 15 and older up from 20.5 percent in September 2019.
Despite the recent monthly losses, national employment remained 95,000 above its level a year earlier. Average hourly wages rose 2.3 percent over the same period to $37.64, compared with annual growth of two percent in August.