Canadian employment was little changed in October 2026, falling by 4,700, after losses of 42,000 in August and 68,000 in September. The unemployment rate rose to 6.7% from 6.5%, private-sector jobs fell by 52,500 and wage growth slowed to 2.2%, a week after the Bank of Canada raised rates to 2.5%.
Global Economy Charts Research Desk | November 8, 2026
Key indicators
| Indicator | Reading | Context |
|---|---|---|
| Employment change | -4,700 | Reuters poll: +13,600; third monthly decline |
| Unemployment rate | 6.7% | September: 6.5%; April peak 6.9% |
| Employment rate | 60.5% | Down 0.1 point; third monthly decline |
| Average hourly wages | +2.2% y/y | September: +2.3%; $37.89 |
| Youth unemployment (15-24) | 13.7% | September: 13.0% |
The headline figure masked a sharp shift between sectors. Private-sector employees fell by 52,500, the first drop since February, while public-sector employment rose by 49,600 after four monthly declines. Full-time jobs fell by 18,100 and part-time work rose by 13,400. Over the past 12 months, employment has risen by just 17,000, or 0.1%.
1. Retail and transport lead the losses
Wholesale and retail trade lost 28,800 jobs, the largest decline of any industry, followed by transportation and warehousing with 10,100. Accommodation and food services and information, culture and recreation each fell by 7,900. Gains were concentrated in construction, up 15,600, and in public-facing services such as education, up 15,000, and health care, up 14,100. Goods-producing industries added 20,600 jobs while services lost 25,300.
2. Alberta’s sharp deterioration
Alberta lost 24,300 jobs and its unemployment rate jumped 0.9 percentage points to 7.3%, matching Ontario, where the rate rose to 7.3% from 7.0% as employment was little changed. British Columbia added 12,300 jobs and Quebec 7,500, with Quebec’s rate falling to 5.7%. Newfoundland and Labrador still has the highest rate, at 8.7%, though it eased from 9.1%.
3. Young workers and long-term unemployment
Youth unemployment rose 0.7 points to 13.7% as employment among 15 to 24 year-olds fell by 10,700. Rates for core-aged men and women were unchanged at 5.8% and 5.3%. Statistics Canada said 23.7% of the unemployed had been looking for work for 27 weeks or more, up from 21.5% a year earlier, which suggests jobseekers are taking longer to find work.
4. A tough backdrop for the Bank of Canada
The Bank of Canada raised its policy rate by 25 basis points to 2.5% on 28 October, saying inflation had been higher and more persistent than expected, with CPI near 3% since April and high oil prices risking spillovers into other prices. Slowing wage growth and rising unemployment complicate the case for further tightening. Canadian Press reported that markets put the chance of another rise on 9 December at about 35%.
Scenarios to watch
If job losses continue and wage growth slows further, the Bank of Canada may conclude that one rise was enough to contain energy-driven inflation. If inflation stays near 3% and oil prices rebound, a further increase on 9 December remains possible despite softer labour data. October CPI and the November Labour Force Survey, both due before the December decision, are the key releases. These are scenarios for monitoring, not forecasts.
Sources and methodology
Statistics Canada, The Daily: Labour Force Survey, October 2026; Statistics Canada, LFS October 2026, Table 2 (industries); Statistics Canada, LFS October 2026, Table 3 (provinces); Bank of Canada, policy rate announcement, 28 October 2026; Canadian Press via BNN Bloomberg, 6 November 2026; CTV via BNN Bloomberg, 6 November 2026. Reported figures are distinguished from forecasts and GEC calculations. Charts use the values and units shown; scales start at zero except where negative values or index thresholds require otherwise. Interpretive sections are GEC analysis, not company or central-bank forecasts.
Thumbnail: AI-generated editorial illustration. Figures are rounded for readability; some releases may be preliminary or subject to revision.
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