Most of Canada’s Employment Gains Are Temporary, 4x The Normal Share

Canadian employment stumbled after a multi-month winning streak that seemed to defy gravity. Statistics Canada’s (StatCan) Labour Force Survey (LFS) shows employment dropped sharply in August. On its own, it’s not particularly concerning as it only rolls back a fraction of the huge gains made recently. What is concerning is that temporary roles accounted for most of the employment growth—nearly 4x the usual rate. Canada Lost 41.7k Jobs, But Still Up 216.5k Roles Since Last Year Seasonally adjusted Canadian employment fell 0.2% (-41,700) to 21.17 million in August. It was a sharp drop, but it followed a growth boom from April to July where 181,000 jobs were added. Even with the sharp downtick, employment remains 1.0% (+216,500) higher than last year. The losses are concentrated in full-time jobs, representing 35,900 of last month’s losses. Canadian Unemployment Rate Unchanged As Workforce Shrinks The seasonally adjusted unemployment rate. Source: StatCan. Hefty job losses didn’t impact the 6.4% unemployment rate, which remains unchanged. The labour force, those employed or actively looking for work, fell by 36,800 in August. Since there were 41,700 jobs lost, the unemployed populati...