Canada's Payroll Employment Edges Lower in August 2026 as Earnings Rise
Statistics Canada reported a decline of 49,600 payroll jobs in August 2026, driven largely by the end of temporary federal census staffing. Average weekly earnings rose to $1,355, while job vacancies held steady at 507,200 for the eighth consecutive month.
Payroll employment in Canada decreased by 49,600, or 0.3%, in August 2026, following a decline of 15,700 (-0.1%) in July, according to Statistics Canada. Despite the monthly losses, payroll employment was up by 57,200 (+0.3%) compared with August 2025.
Average weekly earnings reached $1,355 in August 2026, representing a 0.5% increase from the previous month and a 3.7% rise year over year.
The largest sectoral decline occurred in public administration, where payroll employment fell by 22,300 (-1.6%). Federal government public administration accounted for 15,900 of those losses (-4.1%). From June to August 2026, the cumulative decrease in federal government public administration was 23,400 (-6.0%), largely reflecting temporary staffing activities related to the 2026 Census.
Other sectors also recorded payroll employment declines in August 2026. Accommodation and food services lost 6,800 jobs (-0.5%), information and cultural industries shed 5,000 positions (-1.4%), construction decreased by 4,500 (-0.4%), and retail trade fell by 4,400 (-0.2%).
Job vacancies stood at 507,200 in August 2026, marking the eighth consecutive month of little variation. The job vacancy rate remained at 2.8%, unchanged since December 2025. There were 2.9 unemployed persons for every job vacancy, down from 3.3 in August 2025.
Among sectors, accommodation and food services recorded the highest job vacancy rate at 4.7%. Educational services and utilities recorded the lowest rates, both at 1.1%. Job vacancies increased in finance and insurance by 2,900 (+16.3%), while they decreased in arts, entertainment and recreation by 2,000 (-21.5%) and in information and cultural industries by 1,600 (-20.3%).
Regionally, job vacancies in Quebec increased by 8,000 (+7.2%) in August 2026, offsetting the previous month's decrease. On a year-over-year basis, job vacancies rose in Alberta (+11,400; +19.7%), Quebec (+10,200; +9.3%), and Manitoba (+4,400; +27.1%). Health care and social assistance was the only sector to record a year-over-year decline in job vacancies, falling by 8,300 (-8.2%).