Economics
Canada’s Jobless Rate Hits Record Low on Labor-Force Exodus
- Economy sheds 43,300 jobs but data show tightening market
- Wage growth accelerates, adding to inflation pressures
The average hourly wage rate in Canada is up 5.2% from a year ago.
Photographer: Graham Hughes/BloombergThis article is for subscribers only.
Canada’s jobs market showed signs of extreme tightening, with the unemployment rate falling to a record low, wage gains accelerating and large numbers of workers dropping out of the labor force.
The economy shed 43,200 jobs in June, Statistics Canada reported Friday in Ottawa, a surprise negative reading compared to the 22,500 gain anticipated by economists. But the drop appears to reflect the voluntary exit of workers from the labor force, which contracted by nearly 100,000 -- the biggest one-month decline on record outside of the pandemic.