July 11, 2025
RED FM News Desk
Ontario – Canada’s job market showed unexpected strength in June, adding 83,000 new positions and pushing the national unemployment rate down to 6.9%, according to new data released by Statistics Canada on Friday.
The figures surprised many economists, who had anticipated a continued slowdown. A Reuters survey ahead of the release projected the unemployment rate would rise to 7.1% with minimal job growth.
Instead, June saw the most robust employment gains since January, breaking a three-month streak of rising unemployment and stagnant hiring. The increase was largely driven by part-time roles, with 47,000 jobs created in the private sector alone.
Sector-wise, the wholesale and retail trade industries led the way with 34,000 new jobs. Health care and social assistance followed with 17,000 additional roles. Meanwhile, the agriculture sector saw the only significant decline, shedding 6,000 positions. Most other industries remained steady, though manufacturing — which has faced recent challenges due to tariffs and trade disputes — added 10,000 jobs in a notable rebound.
While several provinces, including Alberta, Manitoba, Ontario, and Quebec, recorded employment growth, job market challenges remain in certain regions. Windsor, Ontario, continues to feel the effects of international trade tensions, recording the highest unemployment rate among Canadian metropolitan areas at 11.2%.
Students returning to school in the fall also faced higher-than-average unemployment. Their jobless rate stood at 17.4% in June — up from 15.8% during the same period last year, but down from 20.1% in May, when summer hiring typically begins.
The Bank of Canada is expected to pay close attention to these numbers as it weighs its next interest rate decision, scheduled for July 30.
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