The Canadian unemployment rate is currently on a very large scale and it has created a lot of worry among the people in Canada. This is especially a topic of great concern among young people as the low-scope offerings are beginning to freak them out. As quoted by a reputed senior economist at a job-search website, the recent unemployment growth is continuing to get behind the number of new participants in the labor force.
What is the Canadian Unemployment Rate?
The rate of unemployment in Canada rose by 0.2 percentage points to 6.6% in August. This was seen after it was held steady in July. The unemployment rate in August was the highest since it was on May 2017. It was also highest as seen outside of 2020 and 2021, which was during the COVID-19 pandemic. However, the unemployment rate has been up since April 2023, thus rising 1.5 percentage points over this period.
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The Canadian unemployment rate continues as of now to follow the upward trend. This has risen up to 6.6% in August. As per reports, there were 1.5 million unemployed people in August 2024. This is noted to be an increase of 60,000 (+4.3%) from July and an increase of 272,000 (+22.9%) from August 2023.
Among those who were under the shackles of the Canadian unemployment rate in July, almost 16.7% had transitioned to employment in August. However, this was not seasonally adjusted with regards to the Canadian unemployment rate. This is because it was lower than the corresponding proportion in August 2023 which was about 23.2%. This was an indication high enough that unemployed people may be facing greater difficulties finding work.
Who has been the most affected by the Canadian unemployment rate?
The unemployment rate in Canada has significantly affected a lot of people. Below is a list of certain sections of society in Canada that have gone through a lot due to the present Canadian unemployment rate:
Aged People
The Canadian rate of unemployment has adversely affected the aged people. This is because the unemployment rate rose for men aged 25 to 54 years old, which is around +0.4 percentage points to 5.7%. For the men aged 55 and older, around +0.4 percentage points to 5.5% was seen, with a slight change in demographics in some areas. For the most aged people, the Canadian unemployment rate went up to the rate of 0.9 per cent to 5.4% on a year-over-year basis in August.
Students
The Canadian rate has adversely affected students, too. Reports suggest that in August, the Canadian rate saw an increase for the youth. This means that the Canadian unemployment rate for youth significantly went up from +3.2 percentage points to 14.5% in August. The rate was up for young men, which was around +3.8 percentage points to 16.3%, and for young women, it was around +2.6 percentage points to 12.6%.
Are All the Sectors Badly Affected by the Canada Unemployment Rate?
The Canadian unemployment rate, however, has not affected the other sectors too. This means there is still hope regarding the present unemployment rate in Canada for the people to go forward and seek opportunities. This is because August saw an employment rise by 27,000 which is +1.7% in educational services. This was noted to be the first increase that was seen since January.
Apart from that, there were 75,000 / +5.1%, as more people employed in this sector compared with 12 months earlier. However, in the other sectors such as personal and repair services, employment fell. It fell in other sectors which includes the professional, scientific and technical services.
What Can You Do to Prevent Being in the Canadian Unemployment Rate?
If you wish to prevent the Canadian unemployment rate to not affect you, then you could do the below mentioned things.
Freelancing
You could open up a portal which would suit your freelancing roles. Although in the initial stages it won’t bring you a lot of money, the scope of it will soon increase with time. Therefore, you could open up any freelancing role which goes with your skills strongly.
Opening up a small business
You could open up a small business too, with regard to the most successful sector you could sell commodities related to it. Thus, you can consider this option too.
Conclusion
Thus, this is all you should know about the Canadian unemployment rate. It is currently at a very bad state and is affecting a lot of people. Still, one must keep in mind that every cloud has a silver lining. Therefore, keeping in mind the Canadian rate, you should keep your search for the other favourable sectors and rise in it.
FAQ’S
a. Is the rate of unemployment in Canada very bad?
Ans: It is not bad because certain sectors are unaffected.
b. What are the places where Canadian unemployment is unaffected?
Ans: It has not affected educational services.
c. Is it wise to go to Canada now?
Ans: You can. However, it would be good if you consider the following situation and then, choose to go.
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