Canada Adds 75,000 Jobs in July 2026 as Unemployment Falls to Two-Year Low
Canadian employment rose by 75,000 in July 2026, pushing the national unemployment rate down to 6.4%, its lowest level since July 2024. Gains were led by core-aged women and sectors including wholesale and retail trade, while Ontario recorded the largest provincial increase.
Employment in Canada increased by 75,000 (+0.4%) in July 2026, driving the national unemployment rate down by 0.1 percentage points to 6.4%. This marks the lowest unemployment rate recorded since July 2024. The overall employment rate also edged up by 0.1 percentage points to 60.9%.
Job growth was concentrated among core-aged workers between 25 and 54 years old, who saw an increase of 51,000 positions. Women in this age group accounted for 33,000 of those gains. Consequently, the unemployment rate for core-aged women fell by 0.3 percentage points to 5.2%, while the rate for core-aged men remained steady at 5.8%.
Youth unemployment for those aged 15 to 24 held steady at 12.6% in July. While this figure is down from a recent peak of 14.3% in April, it remains above the pre-pandemic average of 10.8%. Disparities persisted among racialized youth groups, with Black youth experiencing the highest unemployment rate at 22.6%, followed by Chinese youth at 15.4% and South Asian youth at 13.9%.
Across industries, employment increased in wholesale and retail trade (+21,000), finance, insurance, and real estate (+18,000), professional services (+17,000), and construction (+16,000). Conversely, public administration (-15,000) and agriculture (-9,600) recorded declines. By class of worker, private sector employment rose by 58,000 and self-employment increased by 44,000, partially offsetting a decline of 27,000 public sector employees.
Regionally, Ontario led the country with a net gain of 52,000 jobs (+0.6%), which brought the province's unemployment rate down to 6.8%.
Average hourly wages for employees grew by 2.8% year-over-year to $37.17 in July 2026. Meanwhile, the job finding rate for unemployed people between June and July stood at 20.8%, up from 18.5% a year earlier but still below the pre-pandemic average of 26.6%.