Canada Unemployment Rate at 2-Year High

Canada's jobless rate unexpectedly increased to 7.2 percent in January of 2016 after being steady at 7.1 percent for two consecutive months. It was the highest reading since December of 2013. Employment was virtually unchanged in January (-5,700 or 0.0 percent) while the number of unemployed went up (+3,900 or 0.3 percent).
Statistics Canada | Yekaterina Guchshina | 2/5/2016 2:11:17 PM
Unemployment increased by 3,900 to 1,390,300, while employment decreased by 5,700 to 18,005,200. Part-time employment declined by 11,300 while full-time increased by 5,600. Meantime, labour force decreased by 1,800 to 19,395,500.

In the 12 months to January, employment increased by 0.7% (+126,000). Full-time work increased by 172,000 (+1.2 percent) while part-time was little changed. Over the same period, the unemployment rate rose from 6.6 percent to 7.2 percent, as the labour force grew at a faster pace than employment. The number of hours worked rose by 1.2 percent.

In January, there were fewer employed people aged 55 and older. At the same time, employment increased among women aged 25 to 54.

There were fewer people working in Alberta, Manitoba as well as Newfoundland and Labrador in January. On the other hand, Ontario was the lone province with an employment increase. 

The employment decrease in Alberta (-10,000) raised the unemployment rate in the province to 7.4 percent, the highest since February 1996. The unemployment rate in Alberta was higher than the national rate for the first time since December 1988.

Employment declined in agriculture (-14,000); manufacturing (-11,000); transportation and warehousing (-10,000); and public administration (-7,200). However, there were more people working in information culture and recreation (+16,000), as well as in the 'other services' industry (+9,600).

In January, there was little employment change among public and private sector employees and in the number of self-employed workers.

The participation rate remained steady at 65.9 percent from the previous month.

Youth unemployment rate was recorded at 13 percent unchanged from December.

Canada Unemployment Rate at 2-Year High