{"id":14827,"date":"2026-08-07T11:24:33","date_gmt":"2026-08-07T15:24:33","guid":{"rendered":"https:\/\/www.hiringlab.org\/en-ca\/?p=14827"},"modified":"2026-08-07T16:43:12","modified_gmt":"2026-08-07T20:43:12","slug":"july-2026-labour-force-survey-the-turn-comes-into-view","status":"publish","type":"post","link":"https:\/\/www.hiringlab.org\/en-ca\/2026\/08\/07\/july-2026-labour-force-survey-the-turn-comes-into-view\/","title":{"rendered":"July 2026 Labour Force Survey: The Turn Comes Into View"},"content":{"rendered":"\n

Last month, we called June\u2019s report momentum without a turning point. July data makes the turn harder to dismiss. Employment rose by 75,000, far above the consensus of 15,000, the unemployment rate ticked down to 6.4% \u2014 its lowest level in two years \u2014 and the employment rate edged up to 60.9%. What matters isn\u2019t the single month of data; it’s the consecutive strength. Since April, jobs in Canada have increased by 181,000 and the unemployment rate has declined by half a percentage point, declining for three consecutive months. One month of positive data can be noise, but three months in a row starts to look more like a trend.<\/p>\n\n\n\n

\"Bar
Bar chart titled “Job growth has picked up in recent months” shows Canada’s monthly employment change from 2024 through July 2026, with a line overlay tracking the 3-month moving average.<\/em><\/figcaption><\/figure>\n\n\n\n

The broad-based nature of the gains is also impressive. While the private sector led the way (+58,000 jobs), self-employment also showed strength, adding 44,000 jobs. Gains in July were split between full-time and part-time positions, another positive development after part-time led the way earlier this summer. Employment increased across a broad array of sectors, including Wholesale and Retail Trade, Finance and Real Estate, Professional and Technical Services, and Construction. Declines were seen in six sectors, but only Public Administration saw losses greater than 10,000, and many of the declines were only small give-backs from early-summer strength. Core-aged women were the real standout: their unemployment rate fell to 5.2% and their employment rate climbed to 81.2%, now more than 2 points above its pre-pandemic norm.<\/p>\n\n\n\n

\"Bar
Bar chart titled “Employment change by industry, July 2026” shows the monthly, seasonally adjusted change in employment (in thousands) across 16 industries, ranked from largest gain to largest decline.<\/em><\/figcaption><\/figure>\n\n\n\n

Job growth in Ontario has been the driving force over the past four months, adding 52,000 jobs in July and a net gain of 119,000 over the four-month period. The unemployment rate in Ontario declined 0.2 percentage points to 6.8 in July, its lowest level since July 2024. Employment in British Columbia has increased each month since May, albeit at lower levels, adding 18,000 jobs in July. Nova Scotia saw an increase of 4,600, and Quebec and Alberta were little changed in July.<\/p>\n\n\n\n

We\u2019ve focused frequently on the story of youth unemployment in Canada over the years, and July\u2019s report showed improvements worth noting. Youth unemployment ticked down to 12.6% in July, and while virtually flat compared to June, this is two points lower than a year ago. The summer job market is an important part of this story. Returning students posted a 15.1% unemployment rate, down more than 2 points from last summer, and for those aged 20 to 24, the rate fell to 6.3%, its lowest July rate since 2018. For younger Canadians, the labour market looks a little brighter in 2026.<\/p>\n\n\n\n

While July\u2019s report is overwhelmingly positive, the overall trend still looks a lot more like stabilization from last year\u2019s softness rather than true acceleration. But three straight months moving in the right direction is exactly how turning points begin \u2014 and if the breadth we saw in July holds into the fall, stabilization could quietly become the momentum Canada has been waiting for.<\/p>\n","protected":false},"excerpt":{"rendered":"

June hinted at momentum. July’s data shows the market might be making a turn.<\/p>\n","protected":false},"author":103,"featured_media":14830,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"recruiter-hub-blocks.php","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[606],"post_mwm_category":[715],"post_topic":[],"post_content_type":[],"post_duration":[],"post_actions":[],"post_franchise":[],"post_mwm_author":[745],"class_list":["post-14827","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-spotlight","post_mwm_category-state-of-the-labour-market","post_mwm_author-lullrich"],"acf":[],"yoast_head":"\nJuly 2026 Labour Force Survey: The Turn Comes Into View - Indeed Hiring Lab Canada<\/title>\n<meta name=\"description\" content=\"June hinted at momentum. 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