Menu

Search

  |   Commentary

Menu

  |   Commentary

Search

Canada’s employment rises in December, jobless rate falls to 5.6 pct

Canada’s employment rose in the month of December. A net 35.2k jobs were added in the month. Furthermore, the jobless rate dropped to 5.6 percent from November’s 5.9 percent, aided by a fall in labor force participation. The composition of the gains were favourable. Full-time work rose 38.4k in the month.

The private sector recorded an expansionary gain, ending its contractionary streak by adding 56.9k net jobs. Public sector employment dropped by 21.5k. Gains were mainly because of employees as self-employment was effectively the same. The gains in December could be mainly because of net additions in construction and accommodation and food service, noted TD Economics in a research report.

Region wise, Ontario added a net of 25.1k jobs, while Quebec added 21.1k. In both cases, enough jobs were added to drop their jobless rates from 5.6 percent to 5.3 percent. Wage growth eased slightly to 3.8 percent year-on-year for permanent employees. Aggregate hours worked came in flat on the month, leaving the year-on-year tally at 0.3 percent.

The 12-month trend in hiring remained unchanged at 26.7k in December, while the six-month trend was modest 12.1k. In spite of the decent rise in December, the six month trend in private sector employment remained at only 1.3k per month.

“Today's data is consistent with Governor Poloz's remarks yesterday, where he played it cool. Some aspects of the jobs data, such as wages, have been performing well, while others, such as hours, have not been. It seems we'll have to wait for this month's Monetary Policy Report (January 22nd) to see where the Governor and his team land in interpreting these and other recent trends”, stated TD Economics.

  • Market Data
Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.