Canada April Employment - Private sector detail weak
Canada’s April employment gain is modest at 7.4k, and whole full time employment was up by 31.5k there was also a 37.1k increase in public administration. This makes the report on balance weak, particularly with unemployment rising to 6.9% from 6.7%.
Goods producing employment fell by 33.0k largely on a 30.6k fall in manufacturing which is particularly sensitive to tariffs. Construction fell by a modest 1.8k. Services employment rose by 40.3k largely on a 37.1k rise in public administration. Finance, insurance, real estate, rental and leasing was strong at 23.7k but wholesale and retail weak at -20.6k.
Overall public sector employment rose by 22.9k, less than public administration, and self-employment rose by 11.2k. Private sector employment was weak with a 26.8k decline. Despite a 31.5k rise in full time employment, outweighing a 24.2k fall in part time, the details are on balance weak. This suggests that tariffs are weighing on the economy, and threaten to bring the signs of increased momentum seen in late 2024 to a halt.
With the labor force up by a strong 46.7k after two subdued months unemployment rose to 6.9% from 6.7%, putting it back at the November 2024 high. Yr/yr growth in hourly wages of permanent employees of 3.5% in unchanged from March, but sustains a significant slowing from 4.0% in February.
