Canada Loses 68,000 Jobs as Public-Sector Employment Falls by 70,000

Canada’s September labour report depicts a job market where public-sector employment is shrinking, private payrolls are stagnant, and unemployed workers are finding it harder to secure new positions despite a layoff rate near historical norms.

Public-sector employment declined by 70,000 in September, exceeding Canada’s overall net loss of 68,000 jobs. Private-sector employment increased by approximately 24,100, while self-employment fell by 22,500.

Private-sector employee numbers were little changed for a second consecutive month. Only 30.6% of people unemployed in August found work by September, compared with a 36.5% average between 2017 and 2019.

Total employment fell 0.3%, divided between 35,000 full-time and 33,000 part-time positions. The unemployment rate increased to 6.5% from 6.4%, while the employment rate slipped to 60.6%.

Selkirk Copper Mines — sponsored Sponsored · Selkirk Copper Mines

The month’s losses followed a 42,000 decline in August, reversing much of the 181,000 jobs added from April through July.

September marked the fourth consecutive monthly decline in public-sector employment. The sector had 119,000 fewer employees than a year earlier, a 2.6% contraction. Private-sector employment, by contrast, remained 163,000 higher than in September 2025, an increase of 1.2%.

Educational services shed 35,000 jobs, leaving industry employment 67,000 below its year-earlier level. Health care and social assistance lost 23,000 positions, its first monthly decline since December 2022. Manufacturing employment also fell 13,000, partly reversing a 22,000 gain in August.

Employment among workers aged 15 to 24 declined by 48,000. Their unemployment rate remained at 13.0% as the youth labour force contracted by 50,000.

Nationally, the layoff rate stood at 0.7%, close to pre-pandemic levels.

By province, Quebec lost 49,000 jobs in September, extending its cumulative employment decline since January to 130,000, or 2.8%. British Columbia lost 20,000 positions, while Alberta added 23,000, lifting provincial employment 2.9% above its year-earlier level.

The unexpected national decline shifted financial-market expectations. Economists surveyed by Reuters had forecast 9,200 new jobs.

Reuters reported that the Canadian dollar weakened 0.44% to $1.4287 per US dollar, while the two-year government bond yield dropped 9.5 basis points to 2.410% following the release.

Money markets stopped pricing an October Bank of Canada rate increase, Reuters reported, although a December increase remained anticipated.

Statistics Canada also reported average hourly wage growth of 2.3% year over year, up from 2.0% in August.

Despite the two-month decline, total Canadian employment remained 95,000 higher than a year earlier, contrasting with the 119,000 year-over-year decline in public-sector employment.

Information for this briefing was found via the sources and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply

Video Articles

Everybody Should Own Gold | George Bee – U.S. Gold Corp.

A $40M Company Created $2B in Mining Value | John-Mark Staude – Riverside Resources

The Debt Crisis Is Turning Gold Into Money | Shawn Khunkhun – Contango Silver and Gold

Recommended

First Majestic Produces 3.4 Million Ounces of Silver in Q3 2026, Jerritt Canyon Restart Remains on Track

Altamira Gold Drills 134 Metres of 0.5 g/t Gold at Maria Bonita, Hole Ends in Mineralization

Related News

US Unemployment Rate Dips to 3.5% in July

The US labour market remained robust in July, adding another 187,000 jobs and sending the...

Friday, August 4, 2023, 08:42:28 AM

Powell’s Remark On “Overstated” Payroll Numbers Questions Accuracy of U.S. Employment Figures

Federal Reserve Chair Jerome Powell has raised eyebrows with his recent comments suggesting that U.S....

Thursday, June 13, 2024, 01:23:27 PM

Canada Adds 75,000 Jobs in July as Unemployment Rate Slips to 6.4%

Canadian employment rose by 75,000 in July, a 0.4% gain that pushed the unemployment rate...

Friday, August 7, 2026, 11:06:14 AM

Canada Loses 41,000 Jobs In July While Unemployment Rate Remains At 6.9%

Canada’s labour market lost momentum in July, with national employment falling by 41,000, or 0.2...

Friday, August 8, 2025, 08:52:14 AM

Indeed: Canada’s Job Market Faces Crisis as Unemployment Has Path To 7.5%

As Canada’s labor market approaches 2025, a troubling trend is emerging: systemic weakness characterized by...

Sunday, December 29, 2024, 11:31:00 AM