StatCan shows surprises in turbulent jobs market
Canada lost 18,000 jobs in April. Employment rate fell 0.1 per cent to 60.5 per cent and unemployment rose 0.2 per cent to 6.9 per cent.
The economy once again underperformed expectations. According to a reuters poll of economists, the Canadian economy was expected to add 15,000 jobs last month. The unemployment rate was predicted to remain unchanged at 6.7 per cent.
Unemployment increased most notably among young people aged 15 to 24, up to 14.3 per cent, and among core-aged men 25-54, rising to 6.1 per cent.
Quebec lost 43,000 jobs, Newfoundland and Labrador lost 5,200 jobs, Saskatchewan lost 4,000, and New Brunswick lost 2,700. Employment increased by 42,000 jobs in Ontario.
On a year-over-year basis, employment was up by 67,000 jobs in April, but Canada has so far recorded a net decline of 112,000 jobs in the first third of the year.
Inflation has impacted businesses and consumers, with March CPI rising above the Bank of Canada's target two per cent rate, largely due to higher oil prices driven by the US-Israeli war with Iran. At it's April meeting last week, the Bank of Canada elected to hold interest rates steady at 2.25 per cent, looking past the energy price shock to what it described as "excesss supply" in the overall economy.
Average hourly wages rose in April, up 4.5 per cent year-over-year. Wage growth was stronger for emplyees with higher wages, with wage growth at its slowest in the bottom quartile of earners.
