Canada’s labour market showed signs of recovery in June, with employment rising by 231,000 positions, according to Statistics Canada’s latest Labour Force Survey. Maple News reports that despite the uptick, the rebound has yet to fully compensate for the 275,000 jobs lost during April and May, when third-wave pandemic restrictions severely impacted economic activity.
The gains occurred as provinces across the country began lifting lockdown measures, allowing sectors such as retail, personal services, and outdoor hospitality to resume operations. Ontario, which ended its stay-at-home order on June 2, saw modest recovery, even though indoor dining, gyms, and other close-contact services remained closed during the survey reference week (June 13–19). Other provinces reporting employment growth included British Columbia, Quebec, and Nova Scotia.
Employment recovery trends vary across demographic groups, with immigrant populations showing differing outcomes. Immigrants who have been in Canada for more than five years had an employment rate of 57% in June, a two-point drop compared to February 2020. In contrast, Canadian-born workers had a slightly higher employment rate of about 60%, down just over one percentage point in the same period.
Interestingly, very recent immigrants—those in Canada for less than five years—experienced a boost in their employment rate, reaching nearly 68% in June. This unexpected rise is largely attributed to a decline in the number of newcomers due to pandemic-related travel restrictions. While their population decreased by about 12% in the three months leading up to June, employment numbers for this group dropped by only 7%, leading to a net increase in their employment rate.
Despite the positive momentum, challenges remain. Between February 2020 and June 2021, Canada’s population of individuals over age 15 grew by about 334,000, or just over 1%. To maintain the employment rate, the country needed to create roughly 203,000 new jobs during this period. Instead, total employment fell by 340,000 jobs, lowering the national employment rate by nearly two percentage points.
Labour market experts suggest that while June’s gains are a step in the right direction, a full-scale economic recovery will depend on continued reopening, targeted policy support, and efforts to integrate newcomers effectively into the workforce.
Maple News will continue monitoring Canada’s employment trends as the country navigates post-pandemic recovery and adapts immigration strategies to meet labour market demands.