Statistics Canada says the country added 94,000 jobs in July as public health restrictions linked to the COVID-19 pandemic continued to be lifted, but economists warned there is still a B次元官网网址渓ong slogB次元官网网址� toward a full recovery ahead.
The federal agency said Friday that the job gains caused the unemployment rate to fall to its lowest level since March of this year, at 7.5 per cent for July compared with 7.8 per cent in June.
The gains were seen primarily in Ontario and in the service sector, with 35,000 jobs added in the accommodation and food industry.
The rise came largely in full-time work, which rose by 83,000 or half a percentage point and occurred in multiple sectors.
Many economists had expected the country to add at least 100,000 new jobs during July and thought the unemployment rate would sit around 7.4 per cent last month.
B次元官网网址淲hile the headline tally may have come in a tad light of meaty expectations, itB次元官网网址檚 still a healthy advance, and there were some clear flashes of strength beneath the hood,B次元官网网址� said Douglas Porter, BMO Capital MarketsB次元官网网址� chief economist, in a note to investors.
He saw positive signs in the number of full-time positions added and the 1.3 per cent increase in total hours worked, though that figure was still 2.7 per cent below pre-pandemic levels.
B次元官网网址淚t will only take a few more reports like todayB次元官网网址檚 to get employment all the way back to pre-pandemic highs,B次元官网网址� Porter said.
He predicted the country will see one more employment bump before it settles into a B次元官网网址渓ong slogB次元官网网址� as job gains tied to reopening dissipate and the economy begins to more seriously deal with the Delta variant of COVID-19.
Canada is still 246,400 jobs, or 1.3 per cent, shy of pre-pandemic employment levels seen in February 2020.
The number of people considered long-term unemployed B次元官网网址� those out of work for more than six months B次元官网网址� in July was 244,000 higher than before the pandemic and accounted for 27.8 per cent of total unemployment. Of that number, more than two-thirds have been out of work for a year or longer, Statistics Canada said.
Like Porter, CIBC senior economist Royce Mendes believes job gains will be harder to earn in the coming months.
B次元官网网址淕ains are likely to slow from here, with many employers reporting labour shortages due to generous government support, concerns about contracting COVID in high-contact work settings, and childcare duties,B次元官网网址� he wrote in a note to investors.
However, he also said JulyB次元官网网址檚 increase continues the pattern begun with the 231,000 jobs added in June and can be considered a strong gain, making up for employment losses incurred during the third wave of the COVID-19 pandemic.
The Canadian Press
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