Ontario Loses 38,000 Jobs as U.S. Tariffs Hit the Province
Ontario has lost tens of thousands of jobs in the last three months, according to the province’s financial watchdog. A new report says that 38,000 jobs disappeared in the second quarter of 2025, with U.S. tariffs being a major cause.
The unemployment rate has now risen for nine straight quarters, reaching 7.8% — the highest since 2012, not counting the pandemic. Just two years ago, unemployment was as low as 5.2%.
Most of the job losses came from manufacturing, which shed nearly 29,400 positions. Other industries hit hard included business and support services, transportation, warehousing, and farming. Overall, industrial jobs fell by 3.5% during this period. Some growth was seen in finance, insurance, real estate, and technical services, which softened the overall impact.
Opposition politicians blamed Premier Doug Ford’s government for not protecting workers from the effects of U.S. President Donald Trump’s tariffs.
“These numbers are truly alarming,” said NDP finance critic Jessica Bell. “Families can’t afford more government inaction while good, full-time jobs disappear.”
Liberal finance critic Stephanie Bowman agreed, saying the government’s spending has done little to fight unemployment: “Never has a government spent so much to deliver so little.”
The Ford government defended its actions, saying it is using “every tool” to protect the 800,000 jobs in Ontario’s manufacturing sector. Recently, it announced $70 million for training and support services, along with $1 billion in emergency loans for struggling businesses.
Still, critics say these measures won’t solve the long-term problems created by the tariffs.
