BRITISH COLUMBIA – Canadian employment rose by 0.1 percent from the previous month, growing by 15,000 jobs to 20.597 million in October. The employment rate fell by 0.1 points to 60.6 per cent, while the unemployment rate was unchanged at 6.5 per cent. Average hourly wages rose 4.9 per cent year-over-year to $35.76 last month, while total hours worked were up 1.6 per cent from October of the previous year.
Employment in B.C. fell by 0.3 per cent to 2.829 million with a gain of 8,000 jobs in October, marking the first month of provincial job gain since April 2024. Employment in Metro Vancouver rose 1.2 per cent to 1.606 million in October. The unemployment rate in B.C. fell by 0.2 points to 5.8 per cent in October. On a similar trend, Vancouver’s unemployment rate fell by 0.5 points from last month to 6.2 per cent.
October’s employment statistics, while modestly positive, reflect a slow and steady economic recovery as interest rates continue to fall. Both public and private sector job growth remained relatively unchanged. Only three of sixteen major Canadian industries had a statistically significant change in employment from the previous month, suggesting that firms may continue waiting for friendlier financing/investment conditions before expanding their workforces.
A steady unemployment rate amid weak but still positive hiring activity doesn’t necessarily point to another jumbo cut by the Bank of Canada, though the Bank’s outlook likely got a little more volatile given the results of the US election. How the Bank interprets the potential ramifications of a new Trump administration on the Canadian economy, along with incoming data on October inflation, may push the Bank toward more aggressive rate cuts. Current odds in financial markets are slightly tilted toward a 50-basis point cut in December.
Source: bcrea.bc.ca
