Canada May Jobs Seen Rising Modestly as Unemployment Edges Down to 6.89%

1 articles · Updated · continuumeconomics.com · May 22

June 5 data are expected to show Canada adding only a modest number of jobs in May, with unemployment dipping to 6.89% from 6.93% before rounding and likely holding at 6.9% on a rounded basis.
Full-time employment is forecast to account for all of the gain after three straight months of full-time declines, while the labor force and participation rate are both seen unchanged at 65.0%.
Analysts expect roughly 5,000 jobs each from construction, the public sector and natural resources, with the first two rebounding from April weakness and energy prices supporting resource hiring.
Outside those areas, hiring is seen flat to negative as fading tariff damage and higher energy prices still leave overall labor demand subdued, consistent with only modest Q2 GDP growth.
Wage pressure is expected to stay limited, with permanent employees' hourly pay growth easing only slightly to 4.7% year over year from 4.8%.

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