Canada Jobs Boom Continues as Unemployment Rate Hits Two-Year Low
Canada's economy added a whopping 75,100 jobs in July, far exceeding expectations. The unemployment rate dropped to a two-year low of 6.4%, down from 6.5% in June.
The employment gain was broad-based, with both full-time and part-time sectors experiencing significant growth. Full-time employment increased by a net 38,600 jobs, while part-time employment rose by 36,600 positions.
Gains were concentrated in the private sector, particularly in wholesale and retail trade, finance and insurance, and professional and scientific services. In contrast, public sector jobs declined by 14,500 amid efforts to cut government spending.
The Bank of Canada had previously noted signs that the economy was adapting well to US tariffs and international tensions, predicting a stronger-than-expected growth rate in the second quarter. Preliminary data later confirmed an annualized gain of 3.4%, exceeding the bank's initial forecast.