Canada’s labour market added 88,000 jobs in May, a stronger-than-expected gain that helped push the unemployment rate down to 6.6 per cent from 6.9 per cent the month before.
The increase was the first major rise in employment since late 2025, after the economy lost more than 100,000 jobs earlier this year. Most of the new jobs were full-time and spread across several industries.
Construction led the gains with 27,000 new jobs, while sectors like culture and recreation, transportation, and manufacturing also added positions. However, wholesale and retail trade lost about 35,000 jobs.
Wages rose by three per cent in May, slowing from April’s pace. Young workers saw improvements, with more full-time jobs and a lower unemployment rate, though youth unemployment remains higher than before the pandemic.
The report comes just before the Bank of Canada announces its next interest rate decision, as economists say the economy is still growing slowly but not in recession.
