Canada Adds 75,100 Jobs, Unemployment Rate Hits Two-Year Low

Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions Saved Articles My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials This advertisement has not loaded yet, but your article continues below.HomePMN BusinessCanada Adds 75,100 Jobs, Unemployment Rate Hits Two-Year LowThe Canadian economy added a surprise 75,100 jobs last month while the unemployment rate hit its lowest level in two years — the latest evidence the economy is on a recovery path.Author of the article: You can save this article by registering for free here. Or sign-in if you have an account.A recruiter speaks with a jobseeker at the Canada Job Expo in Toronto. Photographer: Galit Rodan/Bloomberg Photo by Galit Rodan /Photographer: Galit Rodan/Bloomb(Bloomberg) — The Canadian economy added a surprise 75,100 jobs last month while the unemployment rate hit its lowest level in two years — the latest evidence the economy is on a recovery path.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountThe jobless rate edged down to 6.4% in July from 6.5% the previous month, Statistics Canada reported on Friday.Economists surveyed by Bloomberg were expecting employment to increase by 20,000, with the jobless rate holding steady at 6.5%. The job gain exceeded even the highest of analyst estimates in the survey.The Canadian dollar jumped to a session high after the data release, rising by as much as 0.5%. Canada bonds sold off immediately after the release, before reversing course and rallying as markets also weighed the surprise employment loss in the US.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againEmployment increased by 181,100 between May and July, marking the biggest three-month employment gain since before US President Donald Trump began imposing tariffs on Canadian goods.The job growth over the three-month period was also driven by full-time work and concentrated among private sector employees and self-employed workers. Hours worked also rose 0.6%.The stronger-than-expected labor data suggests momentum in the Canadian economy is extending into the third quarter. Recent economic data has pointed to a strong rebound in the second quarter, after a year of economic stagnation brought on by US tariffs.Preliminary data previously released from the agency showed the economy tracking an annualized 3.4% growth between April and June, and recent international trade figures point to further upside.While the economy continues to show signs of stabilization, trade uncertainty still looms. US President Donald Trump has threatened to impose a new round of 50% tariffs on a number of Canadian goods starting Aug. 19.“This is further evidence that the economy is turning a corner, or at least it was before fresh tariff threats were lobbed recently,” National Bank Financial’s Taylor Schleich said by email.Canadian officials met with US Trade Representative Jamieson Greer on Thursday as the two sides try to find a deal before Trump’s deadline.Wholesale and retail trade led the July employment gains, followed by finance, insurance, real estate, rental and leasing, as well as professional, scientific and technical services and construction. Meanwhile, public administration recorded the largest decline that month.Public sector employment declined on an annual basis for the first time since 2016, outside of the pandemic. That decrease was driven by fewer people employed in educational services.“For the Bank of Canada, today’s numbers confirm their view that the economy is improving and suggest stronger economic momentum,” Charles St-Arnaud, chief economist at Servus Credit Union, said by email.This advertisement has not loaded yet.This advertisement has not loaded yet, but your article continues below.“However, the downside risk to the outlook remains, due to US trade policy uncertainty.”July also marked a more favorable summer job market for returning students, compared to last year. The unemployment rate for returning students between the ages of 15 to 24 was 15.1%, down 2.4 percentage points from July 2025 but still higher than the pre-pandemic average.Meanwhile, returning students between the ages of 20 to 24 had a jobless rate of 6.3% last month, the lowest since July 2018.Average hourly wages for full-time permanent employees grew by 3% on an annual basis, down from 3.7% yearly growth the previous month.—With assistance from Mario Baker Ramirez, Melissa Shin and Anya Andrianova.(Updates with market reaction starting in fourth paragraph. Adds economist quotes and chart.)Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.