Financial analyst Robert Levy talks about whether the latest job numbers indicate whether or not Canada's economy will stay strong over the long haul. He also touches on where the Bank of Canada may go with interest rates over the next few months – Sep 10, 2023Canadian job seekers are heading into a much different economic landscape this fall as the previously red-hot labour market cools and candidates face increased competition amid record immigration levels.
Freshly graduated, Iyer is looking for full-time work in the social media space, but she tells Global News the job hunt has been difficult.She says it’s been challenging to parlay the non-Canadian work experience she has to employers, and fine-tuning resumes and cover letters for each position is pain-staking but necessary to stand out in a crowded field.
But the growth outlook in Canada has changed since then. Hiring intentions are shifting amid rumblings of a recession on the horizon as economic growth has stalled in recent months.While he says companies are still hiring, Shekhtman notes there has been a “deceleration” from employers looking to expand their payrolls and candidates considering career moves.
While he says there’s signs a “soft landing” might be in the cards for Canada — the economic scenario that sees inflation cool and economic growth slow but avoids a technical recession — risks of a steeper decline are still there.Corporate profits have taken a hit in recent quarters from the substantial highs seen during the pandemic, he says, and higher interest rates have yet to fully sink in for households yet to renew their mortgages.
“Certainly for in-demand positions, people are getting the salaries that they’re looking for,” Shekhtman says. Meanwhile, four in 10 employers indicated plans to raise salaries in 2024 to attract and keep top talent, according to the survey.The September jobs report showed average annual wage gains hit 5.0 per cent, accelerating slightly from August. But some economists reacting to the figures said they expect the pace of pay hikes to slow in the months to come.