The Financial Post reports in its Saturday edition that economists say Canada's job market is feeling the effects of trade war uncertainty, as demonstrated by April's weak job numbers. The Post's Jordan Gowling writes that Indeed Canada economist Brendon Bernard notes that the unemployment rate is nearing 7 per cent. He says persistent weak months could lead to the labour market's worst state outside the pandemic in years.
In April, 0.7 per cent of employed individuals were laid off, consistent with last year's 0.6 per cent. Job gains were seen in public administration with 37,000 new positions, largely due to temporary work for the federal election, and in real estate and finance sectors, adding 24,000 jobs. Meanwhile, public sector employment rose by 23,000, while private sector employment remained stable.
Rosenberg Research president David Rosenberg says the further loosening in the labour market "should be top of mind for the Bank of Canada." He says, "All roads here lead to lower rates and a lower Canadian dollar." In April, the number of job seekers and those on temporary layoff increased by 39,000, up 189,000 year-over-year, making it harder for the unemployed to find work compared with last year.
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