Business · Economy · 1 day ago
Canada loses 68,000 jobs in September as unemployment rate rises to 6.5%
Canada lost 68,000 jobs in September, according to Statistics Canada.
It was the second month in a row of job losses, after 42,000 jobs disappeared in August.
The unemployment rate rose to 6.5%, matching its level at the start of the year.
The losses were split between full-time and part-time work and were concentrated in the public sector.
Young people aged 15 to 24 lost 48,000 jobs, while Quebec recorded the largest provincial decline.
Employment had grown from April through July, and it remains 95,000 jobs higher than a year earlier.
The figures are an important input for the Bank of Canada as it considers interest rates at its Oct.
28 decision.
Canada lost 68,000 jobs in September, a decline of 0.3 per cent and the second consecutive monthly drop.
The unemployment rate rose to 6.5 per cent from 6.4 per cent, while the labour force participation rate fell to 64.8 per cent, its lowest level since December 1997 excluding the early pandemic period.
Public-sector employment fell by 70,000 in September, and was down 119,000 compared with the same month a year earlier.
Young people aged 15 to 24 lost 48,000 jobs, while women aged 25 to 54 held 28,000 fewer positions.
Quebec recorded the largest provincial employment decline, with 49,000 jobs lost; Alberta added 23,000.
The jobs report was the Bank of Canada's last look at the labour market before its Oct. 28 interest-rate decision; economists cited the weaker data as support for keeping rates on hold.
- Who
- Canadian workers and employers; Statistics Canada reported the figures.
- What
- Employment fell by 68,000 jobs and the unemployment rate rose to 6.5 per cent.
- When
- September 2026; the data was reported on Oct. 9, 2026.
- Where
- Canada.
- Why
- Not stated
This story does not have two clearly opposing sides.
There's no question, this is a disappointing result
Overall, while the weakness in today's employment data is likely more a reflection of data volatility than the impact of new U.S. tariffs, it does support our call that the Bank of Canada will remain patient and keep interest rates on hold at the two remaining meetings this year
This story does not have a timeline yet.
- September employment change
- Down 68,000 jobs, or 0.3 per cent
- August employment change
- Down 42,000 jobs
- Unemployment rate
- 6.5 per cent in September, up from 6.4 per cent in August
- Largest provincial decline
- Quebec lost 49,000 jobs
- Bank of Canada interest-rate decision
- Scheduled for Oct. 28; the key rate was 2.25 per cent
Sources
Emera’s bid for energy powerhouse, Weston family to buy U.K.’s Boots and Stelco’s exit from galvanized steel: Must-read business and investing stories
Canadian employment stumbles again with loss of 68,000 jobs in September
Canada lost 68K jobs in September, Statistics Canada says
Canada unexpectedly sheds 68,000 jobs in September; jobless rate climbs to 6.5%
Canadian economy lost 68,000 jobs in September, marking second straight month of surprise declines
Related news
Court dismisses Tim Hortons class-action lawsuit
GM recalls more trucks over side-curtain airbag risk
Shell to buy 30% stake in proposed Bay du Nord oil project
Kevin's Natural Foods turkey gravy recalled over undeclared mustard
Roblox resale earnings helped 25-year-old buy a Windsor home
Stelco says it will proceed with Ontario layoffs despite Ottawa's warning
Geely plans to start selling cars in Canada in 2027
Moms Offering More and Archewell launch crewneck supporting Alliance for Moms
Research links protected workloads to stronger workplace performance
Alberta farmers face trade and transport questions if province separates
More changes at the pumps in the Maritimes over Thanksgiving weekend
