Surge in part-time work offsets full-time losses, helps drops unemployment rate

'Another head scratcher': ​Canada adds 54100 jobs in July

The youth unemployment rate - representing workers aged 15 to 24 years old - fell to 11.1 per cent, down from 11.7 per cent in June.

Nationally, employment rose by 54,000 in July, with the unemploymet rate dropping slightly to 5.8 per cent.

The report looked set to boost market speculation that the Bank of Canada, which has raised rates four times over the a year ago as the economy strengthened, could hike again next month. When compared to neighbouring provinces, British Columbia's unemployment rate dropped to five per cent and Saskatchewan is also lower at 6.6 per cent, despite a 0.3-per-cent increase. These gains were largely attributed to an overall growth in the number of part time jobs available.

Unemployment in the region was recorded at 7 per cent in June.

First is the fact the gains came on the back of 82,000 less desirable part-time positions while the country shed 28,000 full-time jobs.

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The national average saw a 0.2 per cent change from last month's figures as well - but in the opposite direction.

Porter, however, maintained the national labour market remains robust and wrote there is "easily enough here" to convince the Bank of Canada to keep on track in gradually tightening its key interest rate. Employment rose in a number of services-producing industries: educational services; health care and social assistance; information, culture and recreation; and the "other services" industry.

Professional scientific and technical services, the goods producing sector and the construction industry all reported drops in overall employment between June and July.

While the monthly employment gains were the strongest this year, total actual hours worked was up just 1.3 per cent in July, the lowest since November 2017.

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