Canada adds 41,000 jobs to the market to combat rising unemployment rates
TikTok video reveals Mississauga restaurant with a line of 800 applicants for only 20 available positions.
On March 8, a Statistics Canada report revealed that the country’s unemployment rate has risen to 5.8 per cent, a 0.1 per cent increase since January. In the aftermath of this increase, 41,000 jobs were added to the Canadian market this past February due to Canada’s population growth outpacing its employment growth.
The accommodation and food services industries were the largest producer of jobs, having created 26,000 positions. More jobs were also added to the professional, scientific, and technical services industries, which helped offset job losses in education and manufacturing.
While job gains have surpassed economists’ expectations and can be considered a step forward, they are not enough to counteract the effects of a growing labour force. There is too much demand for work and insufficient supply. According to Dawn Desjardins, Chief Economist at Deloitte Canada, who spoke with Global News, this phenomenon “explains why we’ve seen the unemployment rate move back up.”
In the past year, Canada’s employment rose by 368,000 jobs as its population grew by more than one million people. BMO chief economist Douglas Porter told CTV News that since more people are searching for work during a time when the economy is slowing, job seekers are more likely to work less-than-ideal jobs.
Desjardins argued that the increasing unemployment rate and decreasing wage growth rate could make Canada’s job scene an “employer’s market,” where businesses have the upper hand in wage decisions—a stark contrast to the labour market two years ago where job seekers had more leverage to negotiate higher wages during a lack of talent in the market.
A video uploaded on TikTok in late February showed a long line of job applicants wrapped around Mishree, a new and upscale dining location in Mississauga, hoping to submit their resumes and obtain a job. In total, over 800 applicants applied for 20 job openings. Around the same time, around 2,000 individuals attended a job fair at Toronto Pearson International Airport with the hopes of obtaining one of the 700 jobs available.
Under the video, one user shared, “My son, 18, has applied to over 50 jobs without one interview. You’re not up against 20 applicants anymore, it’s over 200 to 300 for one position.”
Many users under the video are criticizing Prime Minister Justin Trudeau. One comment reads, “The only one to blame for this economic mess is Justin Trudeau, he wanted this Canada and the people of Canada are paying for it.” Another says, “Welcome to the new Canada. Courtesy of Justin Trudeau and his low wage worker immigration policies.”
Canadians have even taken to Reddit to voice their frustrations with the rise in unemployment. In a post from March 6 titled, “Unemployed for almost 2 years,” one user writes, “Is it just me or is anyone else finding it super hard to find any job right now in the Greater Toronto Area.” Many users under the post shared similar sentiments.
Associate News Editor (Volume 50) — Samuel is a first-year student at UTM working towards an Economics degree. He previously worked with the Federation of Canadian Secondary Students as a writer in the Demystify Tribune and will be continuing his exploration into writing and journalism as an Associate Editor with The Medium. When he's not drawing graphs or outlining essays, Samuel can be found playing the piano and drums, working out, or critiquing film.