Monthly Jobs Report

Every month, Adecco Canada interprets the data from Statistics Canada’s Labour Force Survey. Here’s what happened in October:

Employment decline eases in October

Canada’s labour market saw employment remain little changed in October, declining slightly by 4,700 (0.0%). This follows larger declines in September (-68,000; -0.3%) and August (-42,000; -0.2%). Over the 12 months to October, employment recorded a modest increase of 17,000 (+0.1%).

The employment rate fell 0.1 percentage points to 60.5%, marking a third consecutive monthly decline. On a year-over-year basis, the employment rate was down 0.3 percentage points.

Private sector employment declined by 53,000 (-0.4%) in October, marking its first monthly decrease since February. In contrast, public sector employment increased by 50,000 (+1.1%), following four consecutive months of declines. Self-employment remained relatively stable during the month.

Unemployment rate increases to 6.7%

The unemployment rate increased by 0.2 percentage points to 6.7% in October, marking a second consecutive monthly increase. The rate remained below the recent peak of 6.9% recorded in April 2026 and was down 0.2 percentage points compared with October 2025.

The increase in unemployment was accompanied by a rise in the number of people actively searching for work, which grew by 33,000 (+2.2%) in October.

Among core-aged workers, the unemployment rate remained unchanged for both women (5.3%) and men (5.8%). For youth aged 15 to 24, the unemployment rate increased by 0.7 percentage points to 13.7%, while it rose by 0.2 percentage points to 5.5% for people aged 55 and older.

Employment declines in Alberta, while British Columbia records an increase

Employment in Alberta declined by 24,000 (-0.9%) in October, offsetting a similar-sized increase recorded in September (+23,000; +0.9%). Despite the monthly decline, employment in the province remained up by 41,000 (+1.6%) compared with October 2025. Alberta's unemployment rate increased by 0.9 percentage points to 7.3% in October.

In contrast, employment in British Columbia increased by 12,000 (+0.4%) in October, following a decline of 20,000 (-0.7%) in September. The province's unemployment rate remained relatively stable at 6.3%.

Employment in Quebec remained unchanged in October, following cumulative declines of 68,000 (-1.5%) in August and September. Compared with October 2025, employment in the province was down by 106,000 (-2.3%). Meanwhile, Ontario recorded little change in employment for a third consecutive month, although its unemployment rate increased by 0.3 percentage points to 7.3%.

Employment trends vary across industries

Employment declined in wholesale and retail trade (-29,000; -1.0%) in October, continuing a downward trend that has resulted in a decrease of 113,000 (-3.7%) over the past 12 months.

In contrast, employment in construction increased by 16,000 (+0.9%), following two consecutive months of little change. Employment in this industry was also up by 47,000 (+2.9%) compared with October 2025.

Educational services recorded an increase of 15,000 (+1.0%) in October, partially offsetting the decline of 35,000 (-2.2%) recorded in September. Despite the monthly increase, employment in the industry remained down by 48,000 (-3.0%) year over year.

Average hourly wages continue to increase

Average hourly wages among employees increased by 2.2% year over year in October, rising by $0.83 to $37.89. This followed annual wage growth of 2.3% in September (not seasonally adjusted).

Spotlight: More Canadians report financial difficulties

In October 2026, 29.7% of Canadians aged 15 and older lived in households experiencing difficulties meeting essential expenses, including housing, transportation, food and clothing. This represents a 2.0 percentage-point increase compared with October 2025, marking the first annual increase since 2022.

Financial pressures were particularly pronounced among single-parent households, with 47.2% of core-aged individuals in these households reporting difficulties meeting their financial needs. Among Canada's 15 largest census metropolitan areas (CMAs), the share of people experiencing financial difficulties was highest in Oshawa (38.4%), Windsor (36.9%) and Hamilton (35.9%).

Spotlight: Six in ten Canadian workers are very satisfied with their jobs

Statistics Canada's October survey found that 60.9% of employed Canadians aged 15 to 69 reported high levels of job satisfaction, rating their satisfaction at 8 or higher out of 10. While this proportion has remained relatively stable in recent years, it is slightly below the 62.2% recorded in 2023.

Job satisfaction varied across age groups, with workers aged 55 to 69 reporting the highest satisfaction levels (68.9%), compared with 57.5% among youth aged 15 to 24 and 57.4% among those aged 25 to 34. Satisfaction also varied by occupation, with workers in natural resources, agriculture and related production occupations (68.5%) and management (67.4%) reporting the highest levels.

Don’t have time for a long reading? We’ve summarized the key takeaways from this month:

• Employment was little changed in October (-4,700; 0.0%), while the employment rate fell 0.1 percentage points to 60.5%. The unemployment rate increased 0.2 percentage points to 6.7%.
• The unemployment rate increased among youth aged 15 to 24 (+0.7 percentage points to 13.7%) and people aged 55 and older (+0.2 percentage points to 5.5%). For those in the core working-age group (25 to 54 years old), the unemployment rate remained unchanged for both men (5.8%) and women (5.3%).
• Employment declined in Alberta (-24,000; -0.9%) and Prince Edward Island (-1,300; -1.3%). In contrast, employment increased in British Columbia (+12,000; +0.4%) and Newfoundland and Labrador (+2,900; +1.2%).
• Employment declined in wholesale and retail trade (-29,000; -1.0%). In contrast, employment increased in construction (+16,000; +0.9%) and educational services (+15,000; +1.0%).
• Average hourly wages among employees increased by 2.2% year over year in October, rising by $0.83 to $37.89. This followed growth of 2.3% in September (not seasonally adjusted).

References

Statistics Canada. (2026). Table 14-10-0287-01 Labour force characteristics, monthly, seasonally adjusted and trend-cycle, last 5 months [Data table]. https://doi.org/10.25318/1410028701-eng

Statistics Canada. (2026). Table 14-10-0355-01 Employment by industry, monthly, seasonally adjusted and unadjusted, and trend-cycle, last 5 months (x 1,000) [Data table]. https://doi.org/10.25318/1410035501-eng