2026.10.0912:41:54UTC+00Canada Employment Drops the Most in 7 Months

Employment in Canada fell by 68,300 in September 2026, the sharpest decline in seven months and a significant miss compared with market expectations for a 7,000 increase. The result followed a revised 41,700 decrease in August, marking a second consecutive monthly drop in overall employment.

Both full-time and part-time positions declined, by 0.2% and 0.9% respectively. Public sector employment contracted by 70,000, extending its downturn for a fourth straight month, while private sector employment was essentially unchanged for the second month in a row. Self-employment also slipped, down by 23,000.

Youth employment fell by 48,000, registering its second consecutive monthly decline.

Across industries, employment decreased in educational services (-2.2%), health care and social assistance (-0.8%), and manufacturing (-0.7%). Provincially, the largest losses occurred in Quebec (-1.1%), British Columbia (-0.7%), and Manitoba (-0.6%).

The overall employment rate edged down to 60.6% from 60.8% in the previous month. Despite the short-term weakness, employment was still up 95,000, or 0.5%, compared with a year earlier.