Overview

• Canada's unemployment rate rose to 6.9% in April, matching an eight-year high last seen in November 2024, according to Statistics Canada.
• The manufacturing sector shed 31,000 jobs in April, heavily impacted by U.S. tariffs on steel, aluminum, and automobiles imposed in March and April.
• Public administration added 23,000 temporary jobs due to federal election hiring, masking broader employment weaknesses with a modest net gain of 7,400 jobs overall.
• The employment rate fell to 60.8%, a six-month low, as job creation failed to keep pace with population growth.
• Economists predict the Bank of Canada is likely to cut interest rates in June, citing growing economic strain from trade tensions and stagnant wage growth at 3.5%.