Canada’s employment is seeing recovery as of June, according to study

Updated: Jul 21, 2021

Following the third wave of the COVID-19 pandemic, Canada is now seeing an increase in employment rates over the last couple of months, according to the Labour Force Survey by Statistics Canada.

The beginning of the pandemic caused a snowball effect in unemployment across the globe, as stay at home orders and the closing of non-essential businesses devastated rates of employment. Many were forced to adapt and work from home, while others unable to do so were left fewer options.

At the beginning of the year in January, Canada’s unemployment rate rose to 9.4 per cent as restrictions were re-implemented to combat the third wave of COVID-19.

Months on, the country is witnessing some recovery in employment, although not to pre-COVID rates.

What are the numbers?

According to Statistics Canada’s Labour Force Survey, employment was up by 231,000 between the 13 and 19 of June. This was following a decline of 275,000 seen in the two previous months. The growth in employment listed in the study was for part-time work, with individuals surveyed being between the ages of 15-24.

Full-time work on the other hand fell by 143,000 and has yet to bounce back.

Record of newcomers falls to all time low, despite the increase of employment for recently landed immigrants

Due to pandemic travel restrictions, the number of immigrants entering the country has dropped significantly, down 11.7 per cent in the last three months ending with June, 2021, compared with February 2020. During the same time period, employment for recently landed immigrants was down by 6.5 per cent.

Due to the lowering numbers of newcomers, there has been an overall increase in employment for recent immigrants, reaching 67.7 per cent in June, which is an increase of 3.7 per cent compared to February, 2020.

However, for immigrants who had lived in Canada for more than five years saw a 1.9 decrease in employment, as rate of births in the country also dropped by 1.1 per cent.

What jobs are in demand right now?

According to the report, jobs that provide in-person services are on the rise, primarily those that require face-to-face interaction such as accommodation and food services, each making up 101,000 jobs, while retail was up 75,000, and “other” unspecified services were up 24,000.

The largest increase in employment is by far in accommodation and food services, which saw a total 11.8 per cent increase. The June increase has brought the accommodation and food services numbers to 21.6 per cent of its pre-pandemic rates and accounts for the majority of employment increases from February of 2020, making up 77.4 per cent.

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