November 2022 Labour Force Survey
A steady hold for Canada’s unemployment as wage growth persists
Today’s labour force data demonstrated little change in Canada’s unemployment rate, which was 5.1% in November, down by only 0.1% from October. After a very impressive headline gain in October, we had a very little increase of 10,000 net-new jobs in November.
This gain was broad-based across sectors — by way of full-time core-aged female workers, in both private and public sectors. Hours worked settled and wage growth picked up to 5.6% y-o-y. It will mean keeping an eye out for further rate hikes ahead as the Bank of Canada continues to steadily slow inflation.Mahmoud Khairy, Economist, Canadian Chamber of Commerce
- November’s monthly unemployment rate showed minimal change at 5.1%, which was a 0.1% decline from October’s figure.
- Canadian employment increased by only 10,000 jobs in November. This figure was in line with market expectations following a larger than expected gain in October of 108,000 jobs (+0.6%).
- Total hours worked were up by only 0.1%, after a 0.7% gain in October. Compared to the year prior, this is an increase of 1.8% year-over-year (y-o-y).
- Employment growth in the private and public sectors also stabilized, while having grown around 2% over the past 12 months.
- Full-time jobs rose (+51k) in November — up over 2.9% y-o-y, while part-time employment continues with its sixth consecutive month flat streak.
- Job gains occurred across most sectors including finance, insurance, real estate, rental and leasing (21k), manufacturing (19k), information, culture and recreation (16k). Jobs contracted in construction (-25k), wholesale and trade (-23k) and professional, scientific and technical services (-15K) sectors.
- As employers look to fill record-high job vacancies, wage growth is now showing signs of slowing down.This month marks the sixth straight month since June that y-o-y growth has exceeded 5%. This will surely raise flags for the Bank of Canada as it looks to reel inflation in with aggressive hikes.
- The biggest provincial employment increase was in Quebec (+28K), while conversely, the largest contractions were in Alberta (-15K) and British Columbia (-14K).
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