Canada's unemployment rate steady at 6.1%, BC's declines to 5%

The Canadian economy added tens of thousands of jobs in April, but the unemployment rate remained steady at 6.1 per cent.

New data released by Statistics Canada today show employers created 90,000 jobs last month, the largest gain in over a year.

The agency said employment growth was driven by part-time work, with 50,000 such jobs added in April.

In British Columbia, 23,000 jobs were added, bringing the unemployment rate down to five per cent. It was 5.5 per cent in March.

In Kelowna, the jobless rate declined from 5.4 per cent to 4.9 per cent, while in Victoria it went from 4.8 per cent to 4.5 per cent.

In Vancouver, the rate declined very slightly to 5.3 per cent compared with March’s 5.4 per cent. In Abbotsford-Mission, meanwhile, the jobless rate increased from 4.5 per cent to 5.3 per cent.

Across Canada, average hourly wages increased 4.7 per cent on a year-over-year basis in April, to $34.95.

StatCan also said that, once again, the country’s population growth outpaced employment growth in April.

That comes amid unusually high levels of migration, which the prime minister, who was responsible for the increase, said was driving down wages and putting “so much pressure” on communities.

All major demographic groups saw an increase in unemployment in April, on a year-over-year basis.

But April still saw the largest monthly job gain since January 2023.

Jobs were added in professional, scientific and technical services as well as in food and accommodation services, health care and natural resources.

Employment fell in utilities, agriculture and construction, however.

The Bank of Canada is set to announce its next interest rate decision on June 5.

Most analysts and commentators think the central bank will reduce the rate, which is now at five per cent.

That, however, depends on whether the bank sees strong enough evidence that inflation is decreasing.

The annual inflation rate was 2.9 per cent in March.