Unemployment rises to 6.7% in October as Canada’s labour market sheds 4,700 jobs

The Story

Statistics Canada released its latest labour force survey for October, reporting that the unemployment rate rose two-tenths of a percentage point to 6.7%.

The agency said the labour market shed 4,700 jobs in October, following a cumulative loss of 110,000 jobs across September and August.

Statistics Canada said private sector employment fell by 53,000 positions last month, marking the first decline in the segment since February, while employment in the public sector was up 50,000 positions. On a year-over-year basis, private sector jobs were still up while the public sector was down.

By industry, Statistics Canada said the wholesale and retail trade sector led losses in October, shedding 29,000 roles. Transportation and warehousing and food and accommodation also posted losses, offset by some gains in construction and education.

For young workers aged 15 to 24, the unemployment rate jumped to 13.7% in October, up 0.7 percentage points from September. Statistics Canada said the unemployment rate was higher for students compared with youth not attending school.

Statistics Canada also reported that the layoff rate—defined as the proportion of people employed in September who were laid off by October—was “virtually unchanged” compared with a year earlier at 0.7%.

Average hourly wages rose 2.2% annually in October, edging down from 2.3% in September.