# Canada’s Job Market on the Rise: October 2025 Highlights
The Canadian labour market showcased a notable rebound in October 2025, marking the second consecutive month of employment gains. After a period of flux, the nation saw a significant increase in jobs, accompanied by a decline in the unemployment rate. This positive shift offers a fresh perspective on the economic landscape, indicating a strengthening workforce across various sectors and demographics.
## Employment Surges Nationwide
October 2025 witnessed a substantial addition of 67,000 jobs, boosting the national employment rate by 0.2 percentage points to 60.8%. This growth effectively compensated for the declines observed in July and August, signaling a more robust labour market trajectory. The overall unemployment rate also saw a positive dip, falling by 0.2 percentage points to 6.9%.
### Demographics of Growth
Digging deeper, the employment increase was particularly prominent among specific groups:
* **Core-aged men (25 to 54 years old):** Experienced a gain of 33,000 jobs, marking their second consecutive monthly increase.
* **Youth (15 to 24 years old):** Saw an increase of 21,000 jobs, the first such rise since January, pushing their employment rate up to 54.2%.
While full-time work saw a boost in September, October’s growth was primarily driven by part-time positions, adding 85,000 jobs. Year-over-year, both full-time and part-time employment registered increases.
## Industry and Provincial Shifts
Several industries contributed significantly to the job growth, reflecting dynamic changes in demand:
* **Wholesale and Retail Trade:** Led with an increase of 41,000 jobs, recovering from a September decline.
* **Transportation and Warehousing:** Added 30,000 positions.
* **Information, Culture, and Recreation:** Grew by 25,000 jobs.
* **Utilities:** Saw a 7,600 increase.
Conversely, the **construction** sector faced a downturn, with employment falling by 15,000 jobs. Over the period from January to October 2025, goods-producing industries experienced a net decline, while services-producing industries expanded considerably.
Provincially, **Ontario** spearheaded the employment surge, adding 55,000 jobs, its first increase since June. **Newfoundland and Labrador** also saw a rise of 4,400 jobs. In contrast, **Nova Scotia** and **Manitoba** reported decreases in employment.
### Wage Growth and Labour Disputes
Average hourly wages for employees climbed by 3.5% year-over-year in October, reaching $37.06. However, total actual hours worked edged down slightly due to an elevated number of employees losing work hours because of labour disputes, particularly impacting Alberta with a significant teachers’ strike.
## In the Spotlight: Household Financial Difficulties
A crucial aspect of the October 2025 report highlighted the ongoing financial challenges faced by many Canadian households. Approximately 27.7% of Canadians aged 15 and older reported difficulty meeting their financial needs for essentials like transportation, housing, food, and clothing. While this proportion represents a downward trend from a high in October 2022, it remains a significant concern.
### Disparities in Financial Security
* **Renters vs. Owners:** Individuals living in rented dwellings (37.0%) were considerably more likely to face financial difficulties compared to homeowners (23.6%).
* **Age Groups:** Youth and core-aged individuals showed similar rates of financial struggle, around 31%, while those aged 55 and older reported lower rates (22.5%).
* **Household Composition:** Core-aged single parents experienced the highest proportion of difficulties at 46.8%, significantly higher than couples with children (32.4%) or couples without children (25.3%).
Furthermore, the data clearly indicated a strong correlation between unemployment and financial hardship. Households with at least one unemployed person were far more likely (46.1%) to report financial difficulties than those with no unemployed individuals (25.8%). Specific census metropolitan areas in Southern Ontario with higher-than-average unemployment rates, such as Oshawa and Barrie, also reported higher incidences of household financial insecurity.
October 2025 brought a mix of promising employment growth and persistent financial challenges for many Canadian households. The gains in the job market, particularly for certain demographics and industries, offer a positive outlook. However, the data on financial difficulties underscores the continued need for support and economic stability for vulnerable populations across the country.
### Key Takeaways
* Canadian employment increased by 67,000 jobs in October 2025, driving the unemployment rate down to 6.9%.
* Core-aged men and youth saw notable employment gains.
* Services-producing industries like wholesale/retail trade and transportation led job growth, while construction declined.
* Ontario and Newfoundland and Labrador experienced significant employment increases.
* Nearly 28% of Canadians reported household financial difficulties, with renters and single parents being particularly affected.
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