Canada’s employers are still hiring, but not enough to keep the unemployment rate from rising amid a rapidly growing population, Statistics Canada said Friday.
Dawn Desjardins, chief economist at Deloitte Canada, says that while job creation is holding stronger than expected, any strength in the labour market is being dwarfed by the swelling workforce. Desjardins agrees. She points to a decline in job vacancies as evidence that businesses are not looking to expand their payrolls as the economy shows signs of slowing.. Amid a record low unemployment rate, job seekers had the upper hand in many industries and were able to negotiate higher wages amid a lack of talent in the market.
Andrew Grantham, senior economist at CIBC, said in a note to clients Friday morning that the February jobs numbers will do little to “speed the process up.”
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