A worker smooths concrete at a housing development in Toronto, Thursday, Jan. 16, 2020. THE CANADIAN PRESS/Cole Burston

A worker smooths concrete at a housing development in Toronto, Thursday, Jan. 16, 2020. THE CANADIAN PRESS/Cole Burston

Canada’s unemployment rate rose in January to highest level since August

The nation’s economy lost almost 213,000 jobs in January alone

Statistics Canada says the economy lost almost 213,000 jobs in January as employment fell to the lowest level since August last year, wiping out the gains made in the fall.

The unemployment rate rose 0.6 percentage points to 9.4 per cent, the highest rate since August.

Financial data firm Refinitiv says the average economist estimate was for a loss of 47,500 jobs in January and an unemployment rate of 8.9 per cent.

The losses were almost entirely concentrated in Ontario and Quebec, and mostly in the retail sector as lockdowns and restrictions closed many businesses.

Employment declines were heavy in the services sector and part-time work fuelling the largest monthly decline since April when some two million jobs were lost.

Statistics Canada says the losses in January now put the country 858,300 jobs, or 4.5 per cent, short of employment levels from last February just before the first wave of the COVID-19 pandemic.

The unemployment rate would have been 12 per cent in January had Statistics Canada included in its calculations Canadians who wanted to work but didn’t search for a job.

RELATED: Canada’s economy likely suffered its worst year on record, shrank by 5%: StatsCan

Losses in January marked a second straight month that the labour market contracted after 63,000 positions disappeared in December to break a streak of monthly gains that began in May 2020.

January’s employment figures show the “continuing challenge of balancing economic activity with the need to protect public health,” Statistics Canada notes in the report, and how restrictions hit specific sectors and groups of workers harder than others.

Leah Nord, senior director of workforce strategies at the Canadian Chamber of Commerce, says today’s “unfortunately bleak” jobs report points to a need to find a new way to manage the pandemic.

“We simply cannot afford to be in a holding pattern until vaccines arrive,” she says.

“We need new strategies to manage the pandemic. The economic costs may very well damage Canada’s economy and structurally alter our labour market in ways that may not easily be repaired.”

Jordan Press, The Canadian Press

READ MORE: Canadian economy lost 63,000 jobs in Dec., first decline since April

Jobs

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

A local resident is concerned about the low voter turnout in the recent school board byelection. (Langley Advance Times files)
LETTER: Few Langley residents bothered to vote in school trustee election

A local letter writer wonders why the current situation didn’t prompt more people to cast ballots

An agreement between the City and the Langley Lions Housing Society would set out income and age requirements for the new Birch replacement building (Langley City image)
Agreement on seniors rental building a first for Langley City

Sets several conditions to ensure project is affordable for low- and moderate-income seniors

Another member of the Peterson Road Elementary School community has tested positive for COVID-19, the Langley school district reported Saturday. (Undated Google Street View image)
Another COVID-19 case reported at Peterson Road Elementary School

School has reported two positive tests in two days

Seveya Jepsen is inviting people to stop by her Pet Food Drive on Saturday, March 6, 2021. (Jepsen family/Special to the Langley Advance Time)
Langley girl’s 10th birthday goes to the dogs, and cats, and rabbits

Seveya Jepsen is concerned that animals have enough food so she’s hosting a pet food drive.

Const. Allan Young. Photo: Abbotsford Police Department
Manslaughter charge laid in Nelson death of Abbotsford police officer

Allan Young died after an incident in downtown Nelson last summer

The Kimber family of Boston Bar lost their home in a fire. Blaine Kimber’s daughter created a fundraiser to help rebuild the home with the goal of $100,000. (Screenshot/GoFundMe)
Fundraiser created for Boston Bar family that lost everything in weekend fire

Witnesses say the Kimber family escaped the fire without injury, but their home is a total loss

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

(The Canadian Press)
‘Worse than Sept. 11, SARS and financial crisis combined’: Tourism industry in crisis

Travel services saw the biggest drop in active businesses with 31 per cent fewer firms operating

Pictures and notes in from friends and classmates make up a memorial in support and memory of Aubrey Berry, 4, and her sister Chloe, 6, during a vigil held at Willows Beach in Oak Bay, B.C., on December 30, 2017. THE CANADIAN PRESS/Chad Hipolito
Mother of slain daughters supports recent changes to Canada’s Divorce Act

Sarah Cotton-Elliott said she believed her children took a back seat to arranging equal parenting

Victoria man Brett Andersen is asking for people’s help to secure him one of eight free tickets to the moon. (Screenshot/@brettandersen Instagram)
Victoria man wants your help securing a free ticket to the moon

Japanese billionaire offering eight people a trip to the moon

The Conservation Officers Service is warning aquarium users after invasive and potentially destructive mussels were found in moss balls from a pet store. (BC Conservation Officers Service/Facebook)
Aquarium users in B.C. warned after invasive mussels found at pet store

Conservation officers were told the mussels were found in a moss ball from a Terrace pet store.

Most Read