Canadian jobless rate continues to drop

Downtown Vancouver Vancouver skyline

Canada's unemployment rate dropped to 10.2 per cent, a decrease of 0.7 percentage points from July.

Additionally, the unemployment rate for youth is 15.3 per cent. It took over two years at that time to achieve an unemployment rate of 8.4 percent, something Americans have now achieved in one month.

The agency nevertheless observed strong employment growth among South Asian Canadians, with their unemployment rate falling 2.9 per cent from July. The figures could fluctuate because they are based on small statistical samples.

The unemployment rate was higher for racialized workers than non-racialized workers.

Analysts noted that there would challenges ahead for employment to fully return to pre-pandemic levels, particularly if there is a second wave of COVID-19 in the fall or winter.

Combined with gains of 1.2 million in May and June, this brought employment to within 1.1 million of its pre-COVID February level.

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That's good news for the recovery, but the overall numbers mask disparities for certain groups, particularly women, racialized Canadians and young people - groups also more likely to be doing low-wage work.

The Ontario unemployment rate was 10.6 per cent, a drop from July's 11.3 per cent. Statistics Canada says 246,000 jobs were added across the country, while 142,000 jobs were added in Ontario.

With those gains, the Canadian economy has now recovered nearly two-thirds of the jobs lost since March when a lockdown was ordered to slow the spread of the outbreak.

Retailers added 2,700 from July to August for a total of 89,000.

But deep hits to the tourism sector and other industries now see it outperforming only Alberta, Prince Edward Island, and Newfoundland and Labrador.

According to the survey, the number of people who wanted to work but did not look for a job indicated a "little change" in August.

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