Monthly Jobs Report

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

Employment remains steady as labour market stabilizes

Employment changed little in June, increasing by +0.1% after the stronger +0.4% gain recorded in May. The employment rate edged up to 60.8%, matching its level at the beginning of the year, while year-over-year employment growth remained modest at +0.5%.

Hiring continued to be driven by the private sector (+0.2%), while public sector employment declined by -0.7%. Overall, June suggests the labour market is stabilizing following stronger hiring activity in May.

Unemployment declines for a second consecutive month

Canada's unemployment rate fell by 0.1 percentage points to 6.5% in June, marking a second consecutive monthly decline and returning to its January level. The improvement reflects stronger hiring conditions, with more unemployed Canadians finding work compared with the same period last year.

Despite the improvement, labour force participation remained unchanged at 65.0%, while the layoff rate continued to hold steady at 0.6%, indicating employers are maintaining current staffing levels.

Youth hiring remains strong while older workers face challenges

Youth employment increased by +1.2% in June, driving the second consecutive decline in the youth unemployment rate, which fell to 12.7%. Employment among core-aged workers also edged higher (+0.2%), while unemployment remained stable for both women (5.5%) and men (5.7%). In contrast, employment among workers aged 55 and older declined by -1.1%, contributing to a slight increase in their unemployment rate to 5.2%.

Uneven hiring across industries

Industry hiring trends were mixed in May, with employment gains recorded in construction, information, culture and recreation, transportation and warehousing, accommodation and food services, and manufacturing.

Provincial employment remains largely unchanged

Employment gains were limited in June, with Nova Scotia (+0.9%) and Saskatchewan (+0.5%) recording the largest increases. Quebec continued its gradual recovery with a +0.3% increase, while employment in Ontario and British Columbia remained stable following gains in May.

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

• Employment increased by +0.1% in June (+18,000), while the employment rate edged up 0.1 percentage points to 60.8%.
• The unemployment rate declined to 6.5% (-0.1 percentage points), marking the second consecutive monthly decrease and the lowest level since January 2026.
• Employment growth was led by youth aged 15 to 24 (+1.2%), followed by core-aged workers (+0.2%), while employment among workers aged 55 and older declined by -1.1%. The youth unemployment rate also improved, falling to 12.7%.
• Employment increased in Nova Scotia (+0.9%) and Saskatchewan (+0.5%), while the remaining provinces recorded little change.
• Among industries, accommodation and food services (+1.2%) posted the strongest employment gains. In contrast, employment declined in manufacturing (-0.9%), agriculture (-3.3%) and utilities (-4.3%).
• Average hourly wages increased by +3.3% year-over-year (+$1.19 to $37.20), a modest acceleration from the 3.0% wage growth recorded in May 2026

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