Canada’s economy added 76,000 jobs in January as the country braced for the impact of tariffs from U.S. President Donald Trump, marking the third consecutive month of jobs growth.
The unemployment rate fell by 0.1 percentage points last month, bringing Canada’s unemployment rate to 6.6 per cent, with the largest gains (33,000 jobs) coming from the manufacturing sector, Statistics Canada said in its monthly labour force survey.
The latest jobs report comes as Canada faces the threat of Trump’s sweeping tariffs, which economists have warned could lead to mass layoffs, particularly in Canada’s manufacturing sector.
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The drop in Canada’s unemployment rate was driven largely by youth aged 15 to 24, whose unemployment rate fell to 13.6 per cent, down from a recent high of 14.2 per cent in August and December 2024.
Average hourly wages across Canada were up 3.5 per cent, or by $1.23 to $35.99, compared with January 2024. That marks a slowdown from annual gains of 4.0 per cent in December.
Since November, Canada has added a total of 211,000 jobs, with increases in both full-time work (147,000 new jobs) and part-time work (64,000 new jobs).
Ontario led the provinces in employment growth, with 39,000 new positions, while B.C. followed in second place with 23,000 new jobs.
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