The public body explained the increase in unemployment despite the net job creation is due to the fact that a greater number of people looked for work in May, mostly students who finished their classes.
According to the entity, the unemployment rate grew to 6.2 percent in May, 0.1 more than April.
A significant fact, he points out, is that less than 25 percent of people who looked for work in April found employment in May, unlike the average of 31.5 in the years before the Covid-19 pandemic.
“A lower proportion of the unemployed finding work may indicate that the population is facing great difficulties in finding employment in the current labor market,” said the Statistics Canada report.
He emphasizes that more and more people have to be content with part-time jobs instead of full-time jobs.
Economists link the cooling of the labor market with the high interest rate policy maintained by the Bank of Canada, since between March 2020 and July 2023 it applied 10 consecutive increases in interest rates until reaching 0.5 percent.
This Wednesday it reduced rates to 4.75 percentage points, considering the fall in inflation to around 2.0 percent sustained.
ode/tdd
