The Canadian job market showed resilience in June, adding 18,000 new positions while the unemployment rate dipped slightly to 6.5 percent, according to the latest Labour Force Survey from Statistics Canada. This modest improvement follows May’s stronger showing when 88,000 jobs were created.
Young Canadians aged 15 to 24 were the big winners last month, with 33,000 finding work as the summer employment season kicked off stronger than in 2024. The youth unemployment rate dropped significantly from 13.4 percent in May to 12.7 percent, marking a notable improvement from the 14.2 percent recorded a year ago. Most of these young workers, approximately 25,000, secured part-time positions in sectors like retail, food services, and recreation.
However, the picture remains mixed across different industries. The manufacturing sector continues to struggle, losing 17,000 jobs in June alone. Since January 2025, the sector has shed roughly 61,000 positions. Agriculture and utilities also experienced setbacks, losing 7,600 and 7,300 jobs respectively, reflecting ongoing economic pressures from trade uncertainties and tariff policies.
Economists offered cautious optimism about the latest figures. Experts note that while the report moves the labor market in a positive direction, conditions remain far from robust. The unemployment rate still sits above normal levels, and recovery continues to be uneven across economic sectors. For Canadian workers, particularly those in vulnerable industries, the road ahead may still present challenges as the country navigates ongoing trade negotiations and global economic uncertainty.
