More Jobs Created in August

CBJ — The Canadian job market rebounded last month, gaining back much of the ground lost in July.

The economy created 26,200 net new jobs in August compared with a loss of 31,200 in the previous month according to figures released by Statistics Canada.

However, even with the increase in the number of jobs, the unemployment rate crept up to 7.0% compared with 6.9% in July as more people entered the labour force and started looking for work.

August’s employment data included a gain of 52,200 full-time jobs, nearly offsetting a loss of 71,400 full-time positions in July. The number of part-time jobs in August fell by 26,000 compared with a gain of 40,200 the previous month.

The number of jobs rose in Quebec by 22,000 in August as its unemployment rate edged up to 7.1 per cent from 7.0%, while Newfoundland and Labrador gained 4,000 jobs in the month as its unemployment rate moved down to 12.3% from 12.8%. New Brunswick lost 3,000 jobs, with its unemployment rate dropping to 9.4% from 9.7%.

Statistics Canada said there was little change in the other provinces, but noted that Ontario saw an increase in its unemployment rate to 6.7% from 6.4% in July as more people sought work.

The number of public sector employees jumped 57,000 in August, while the number of private sector jobs increased 8,300. The number of self-employed workers slipped by 39,100.

The jobs report follows the Bank of Canada’s decision earlier this week to keep its key overnight interest rate target steady at 0.5% where it has been for more than a year.

In making its decision, the central bank raised concern about the strength of the Canadian economic recovery, noting that a drop in exports earlier this year was larger and more broad-based than expected. However, the Bank of Canada says it still expects a “substantial rebound” in the economy in the second half of the year.

Here’s what happened provincially (previous month in brackets):
— Newfoundland and Labrador 12.3 per cent (12.8)
— Prince Edward Island 12.1 (9.6)
— Nova Scotia 8.5 (8.4)
— New Brunswick 9.4 (9.7)
— Quebec 7.1 (7.0)
— Ontario 6.7 (6.4)
— Manitoba 5.9 (6.2)
— Saskatchewan 6.3 (6.3)
— Alberta 8.4 (8.6)
— British Columbia 5.5 (5.6)