November 17, 2025

Employment increased by 67,000 (+0.3%) in October, the second consecutive monthly increase, and the employment rate rose 0.2 percentage points to 60.8%. The unemployment rate declined 0.2 percentage points to 6.9%.

Employment growth was concentrated among men aged 25 to 54 years old (+33,000; +0.5%) and youth aged 15 to 24 years old (+21,000; +0.8%).

There were more people working in wholesale and retail trade (+41,000; +1.4%), transportation and warehousing (+30,000; +2.8%), information, culture, and recreation (+25,000; +3.0%), and utilities (+7,600; +4.6%). On the other hand, employment declined in construction (-15,000; -0.9%).

Employment increased in Ontario (+55,000; +0.7%) and in Newfoundland and Labrador (+4,400; +1.8%), while it declined in Nova Scotia (-4,400; -0.8%) and Manitoba (-4,000; -0.5%).

Average hourly wages among employees increased 3.5% (+$1.27 to $37.06) on a year-over-year basis in October, following growth of 3.3% in September (not seasonally adjusted).

Employment increases in October, building on gain in September

Employment rose by 67,000 (+0.3%) in October, the second consecutive monthly increase. Cumulative gains in September and October (+127,000; +0.6%) have offset cumulative declines observed in July and August (-106,000; -0.5%).

The employment rate—the proportion of the population aged 15 and older who are employed—rose by 0.2 percentage points to 60.8% in October, also the second consecutive monthly increase. The employment rate in October was unchanged on a year-over-year basis but remained below the recent high of 61.1% recorded in January and February 2025.

Chart 1
Employment rate rises for the second consecutive month

The employment increase in October was driven by part-time work (+85,000; +2.3%). This follows an increase in full-time work in September (+106,000; +0.6%). On a year-over-year basis, employment was up in both full-time work (+199,000; +1.2%) and part-time work (+101,000; +2.7%).

Private sector employment rose by 73,000 (+0.5%) in October, the first increase since June. There was little change in the number of public sector employees and in the number of self-employed workers in October.

Labour disputes lead to lost work hours among employees

Despite the employment increase in October, total actual hours edged down (-0.2%) in the month as an elevated number of employees lost work hours due to labour disputes occurring during the Labour Force Survey reference week (October 12 to 18).

An estimated 87,000 employees across the provinces lost work hours due to labour disputes during this period (not seasonally adjusted). This was particularly notable in Alberta where a teachers’ strike, and a subsequent lock-out, led to the closure of most elementary and secondary schools in the province.

On a year-over-year basis, total actual hours were up 0.7% in October.

Employment rises among core-aged men and youth

Employment rose among core-aged men (25 to 54 years old) in October (+33,000; +0.5%), marking a second consecutive monthly increase. Among core-aged women, employment was little changed, following a gain in September (+76,000; +1.2%).

Infographic 1
Employment rate by age group, October 2025

The employment rate of core-aged men rose 0.3 percentage points to 86.4% in October, while that of core-aged women held steady at 80.4%. For both groups, the employment rate in October was virtually unchanged compared with 12 months earlier.

Among youth (aged 15 to 24), employment rose by 21,000 (+0.8%) in October, the first increase since January. This pushed the youth employment rate up 0.4 percentage points to 54.2%. Despite this increase, the youth employment rate remained significantly below the recent high of 59.6% recorded in March 2023, as youth continue to face difficult labour market conditions.

Unemployment rate declines to 6.9%

The unemployment rate fell 0.2 percentage points to 6.9% in October. Prior to this decline, the unemployment rate had reached 7.1% in August and September, the highest level since May 2016 (excluding 2020 and 2021 during the COVID-19 pandemic).

Nearly one in five (19.8%) unemployed people in September had found work in October. This proportion (referred to as the job finding rate) was up from 12 months earlier (16.5%) but was lower than the average for the same months from 2017 to 2019 (24.6%) (not seasonally adjusted).

Chart 2
Unemployment rate decreases to 6.9% in October

The layoff rate in October (0.6%) was virtually unchanged compared with 12 months earlier (0.7%) (not seasonally adjusted). This represents the proportion of people who were employed in September but had become unemployed in October as a result of a layoff.

Long-term unemployment—the proportion of unemployed people who had been continuously searching for work for 27 weeks or more—stood at 21.3% in October, little changed from 21.2% in October 2024.

Youth unemployment rate falls for the first time since February

The unemployment rate for youth aged 15 to 24 fell by 0.6 percentage points to 14.1% in October, coinciding with an increase in employment for this group. This was the first decline in the youth unemployment rate since February. The youth unemployment rate had been on an upward trend from the beginning of 2023, reaching a 15-year high in September 2025 (excluding 2020 and 2021).

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Unemployment rate by age group, October 2025

The unemployment rate for core-aged men fell by 0.2 percentage points to 6.0% in October, while it was little changed at 5.7% for core-aged women. For both groups, the unemployment rate was little changed on a year-over-year basis.

The unemployment rate also fell for people aged 55 and older in October (-0.2 percentage points to 5.3%), offsetting a similar-sized increase in September. The unemployment rate for this age group was little changed on a year-over-year basis.

Employment gains led by services-producing industries

Employment increased in wholesale and retail trade in October (+41,000; +1.4%), more than offsetting a decline in September (-21,000; -0.7%). On a year-over-year basis, employment in the industry was up by 108,000 (+3.7%).

Employment also increased in transportation and warehousing (+30,000; +2.8%) and in information, culture and recreation (+25,000; +3.0%) in October. In both these industries, employment was little changed compared with 12 months earlier.

Chart 3
Employment change by industry, October 2025

In construction, employment fell by 15,000 (-0.9%) in October, following little change in September. Employment in this industry was virtually unchanged from a year earlier but was down 38,000 (-2.3%) from a recent high in January 2025.

From January to October 2025, employment in goods-producing industries recorded a net decline of 54,000 (-1.3%), largely reflecting decreases in construction and manufacturing. In comparison, employment in services-producing industries increased by 142,000 (+0.8%) over that period.

Employment increases led by Ontario

Overall employment growth in October was concentrated in Ontario (+55,000; +0.7%). The increase was the first for the province since June. The unemployment rate in Ontario fell 0.3 percentage points to 7.6% in October.

The employment increase in October in Ontario has offset declines recorded earlier in the year. These declines coincided with uncertainty related to trade and tariffs which disproportionately impacted regions in Southern Ontario. Notably, the unemployment rate in the census metropolitan area (CMA) of Windsor reached a high of 11.2% in June, before trending down to 9.6% in October (three-month moving averages).

Employment also increased in Newfoundland and Labrador (+4,400; +1.8%) in October, offsetting two consecutive monthly declines in August and September. The unemployment rate in the province was little changed at 10.1% in October.

Map 1
Unemployment rate by province and territory, October 2025

On the other hand, fewer people worked in Nova Scotia (-4,400; -0.8%) and in Manitoba (-4,000; -0.5%) in October. In Nova Scotia, the unemployment rate rose by 0.5 percentage points to 6.7% while in Manitoba, it fell 0.4 percentage points to 5.8%, as fewer Manitobans searched for work.

In Quebec, employment was little changed for a fourth consecutive month in October. With fewer people searching for work, the unemployment rate in Quebec declined 0.4 percentage points to 5.3%.

In the spotlight: Over one in four Canadians live in a household experiencing financial difficulties

In October 2025, 27.7% of Canadians aged 15 and older were living in a household that found it difficult to meet its financial needs in terms of transportation, housing, food, clothing and other necessary expenses. This proportion has been on a downward trend since the high recorded in October 2022 (35.5%).

In October 2025, people living in rented dwellings remained more likely to experience household financial difficulties (37.0%) than those living in a dwelling owned by a household member (23.6%). The proportion experiencing difficulties was down among both renters (-2.2 percentage points) and owners (-0.7 percentage points) from a year earlier.

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Proportion of core-aged Canadians living in a household experiencing difficulties meeting its financial needs, by select family type

Youth aged 15 to 24 (31.0%) were about as likely as core-aged (25 to 54 years old) people (30.7%) to belong to a household that found it difficult or very difficult to meet its financial needs. On the other hand, the proportion was lower among people aged 55 and older (22.5%).

The proportion of core-aged Canadians living in a household experiencing difficulties meeting its financial needs differed notably depending on household composition. For example, the proportion among couples with children (32.4%) in October was higher than among couples without children (25.3%). Among core-aged single parents, the figure rose to 46.8%.

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Household financial insecurity and unemployment rate among the 20 largest census metropolitan areas (CMAs), October 2025

Thumbnail for Infographic 3: Household financial insecurity and unemployment rate among the 20 largest census metropolitan areas (CMAs), October 2025

Unemployment can be associated with a greater risk of financial hardship. In October 2025, people aged 15 and older living in households with at least one unemployed person (46.1%) were more likely to report difficulties meeting their financial needs compared with persons living in households with no unemployed people (25.8%).

Among the 20 largest CMAs, the share of people living in households experiencing financial difficulties was higher in areas of Southern Ontario where the unemployment rate was above the national average. These areas included Oshawa (37.2%), Barrie (33.7%), Kitchener–Cambridge–Waterloo (33.5%) and Toronto (32.3%). On the other hand, the proportion was lowest in Québec (20.0%), Montréal (23.6%), Halifax (23.6%) and Victoria (23.8%), where the unemployment rate was lower than the national average.