Canada entered a recession between 2008 and 2009, thus increasing Canada’s unemployment rate. However, the average unemployment during this period reached 8.3 %. Hence, causing an increase by 2.2 %.
Consequently, about 1.52 million people became unemployed. However, from 2010, the average unemployment began to decrease. Thus, the country office came out of recession.
On the one hand, the unemployment rate refers to the proportion of people who are not working in the labor force. This proportion is people who are either available or looking for employment.
On the other hand, an economic recession is a period of time, when the overall economy of a country declines. Thus, leading to a higher rate of unemployment in the country.
Usually, economic recessions are temporary. However, the recession can go for a number of years. Economic recession and increased unemployment are linked, as business sales and revenues decline which consequently causes businesses to stop expanding.
In this article
- Canada Unemployment Rate
- Canada Unemployment Rate 2021
- Unemployment Rate By Province
- Nunavut Unemployment Rate
- Newfoundland and Labrador Unemployment rate
- Rate of unemployment in Newfoundland and Labrador
- Alberta Unemployment Rate
- Prince Edward Island Unemployment rate
- Prince Edward Island Unemployment Rate
- New Brunswick Unemployment Rate
- Ontario Unemployment rate
- British Columbia Unemployment Rate
- Quebec Unemployment rate
- Northwest Territories Unemployment rate
- Saskatchewan Unemployment Rate
- Manitoba Unemployment rate
- Canada Unemployment Rate Table
- Unemployment Rate By Big Cities
- Unemployment rate in Canada by Cities
Canada Unemployment Rate
To start with, the number of employment in Canada rose by 231,000 (+1.2%) in June. This follows directly from the cumulative decline of 275,000 in the previous two months.
However, the employment growth was entirely seen in part-time work. Thus, the growth in employment favoured mostly the youths. Basically, between 15 and 24 years.
Gradually, after falling by 143,000 in the previous two months, full-time work is really getting more people employed.
Also, in the three months that ended in June, the employment rate for Indigenous people fell to 55.8%. Thus, leading to 56/2 % from February, 2020.
Even though, the average unemployment in Canada has decreased since 2009. However, there was 9.5 % increase in 2020. The cause being the impact of Covid 19.
Usually, immigrants in Canada faced more unemployment rate than Canadian citizens and and permanent residents. In contrast, youth unemployment always fluctuates since 1998. However, it has remained in double digits.
In addition to that, the average duration of unemployment in Canada was about 15.2 weeks in 2020.
If you are not employed, you can also enjoy unemployment benefit in Canada.
Canada Unemployment Rate 2021
In contrast to 2020, the average of unemployment in 2021 has decreased for four straight months. Thus, it reduced from 7.1 % in August to 6.9% in September.
Also, it is expected that this reduction in average unemployment will continue into October.
Therefore, this was the lowest rate of unemployment once the pandemic hit the world.
Since several provinces had implemented proof-of-vaccination requirements and many are planning to do so. What this means is that, the rate of unemployment will continue to move down.
Consequently, the number of unemployed persons has changed in Canada. Basically, this leads to increase in number of employed persons also.
Therefore, the statistics below show the rate of unemployment in Canada:
Total number unemployed persons: 1.89m
Unemployment Rate In Canada: 9.5%
The unemployment rate of 15 to 24 years old: 16.7%
Total number of employed persons in Canada: 18.06m
Labor participation rate in Canada: 68.9%
Canada’s province with the highest labor participation rate: Yukon
Also, the table below shows the Canadian unemployment average for September:
Canada Last Unit Reference
Unemployment Rate 6.90 percent Sep/21
Employed Persons 19131.20 Thousand Sep/21
Unemployed Persons 1421.80 Thousand Sep/21
Part Time Employment -36.50 Thousand Sep/21
Full Time Employment 193.60 Thousand Sep/21
Employment Change 157.10 Thousand Sep/21
Labor Force Participation Rate 65.50 percent Sep/21
Youth Unemployment Rate 11.30 percent Sep/21
Labour Costs 117.14 points Jun/21
Productivity 110.73 points Jun/21
Wages 27.36 CAD/Hour Jul/21
Minimum Wages 14.35 CAD/Hour Oct/21
Wages in Manufacturing 27.93 CAD/Hour Jul/21
Population 38.01 Million Dec/20
Employment Rate 60.90 percent Sep/21
Average Hourly Earnings 30.91 CAD Sep/21
Wage Growth 1.77 percent Jul/21
Job Vacancies 731905.00 Jun/21
Non Farm Payrolls 16271.90 Thousand Jun/21
Unemployment Rate By Province
Firstly, the Canadian territory of Nunavut has the highest unemployment rate in Canada. Thus, Nunavut has 14 % Canada unemployment rate. In contrast, Yukon has the lowest Raye of unemployment among the provinces and territories in Canada. Thus, Nunavut has a 5.2% unemployment rate in Canada.
First of all, Nunavut is the largest and most northern province of Canada. There, their economy is powered by many industries including: mining,oil, gas, hunting, fishing, and transportation.
In addition to that, they have a high amount of mineral resources. As such, many of their jobs come from mining, however, the territory still suffers from a high unemployment rate.
Basically, the cause of the high rate of unemployment in Nunavut is the lack of necessary education, skills, and mobility. In addition to that, most of the population identifies as Inuit.
Another factor is the climate in Nunavut. Nunavut is a polar climate due to its high latitude. As a result, it rarely goes above 50 degrees Fahrenheit.
Newfoundland and Labrador Unemployment rate
The second province when it comes to unemployment in Canada is Newfoundland and Labrador. The province has Canada unemployment rate of 13. 7% in 2021. Thus, it became the second in unemployment rate.
Rate of unemployment in Newfoundland and Labrador
Year Unemployment rate
Alberta Unemployment Rate
The third province in unemployment is Alberta with an 8.1 % rate of joblessness. This increased slightly than it was during the pandemic period.
According to Statistics Canada’s September 2021 Labour Force Survey, Alberta had a jobless rate of 8.1 per cent last month. This is up from 7.9% in August. However, it is still above the pre-pandemic rate of 7.5 per cent in February 2020.
Prince Edward Island Unemployment rate
PEI has an unemployment average of 10.4%. Thus, it is the fourth highest province in Canada in the unemployment chart.
Prince Edward Island Unemployment Rate
Year Unemployment rate
New Brunswick Unemployment Rate
New Brunswick has unemployment average of 9.8%. Because of this, it t is the 5th province in Canada with highest unemployment.
Ontario Unemployment rate
This statistic shows the average of unemployment in Ontario, Canada from 2000 to 2020. In 2020, 9.6 percent of the labor force was unemployed in Ontario.
Rate of unemployment in Ontario
Year Unemployment rate
Nova Scotia Unemployment Rate
Due to the pandemic, Nova Scotia’s Canada unemployment rate rose from 7.4% in 2019 to 9.8% in 2020. Consequent upon that, many people lost their jobs.
However, Nova Scotia is still among the provinces with the lowest unemployment average in Atlantic Canada. Although it was above those of the remaining provinces, except for Alberta.
Basically, the unemployment rate in Nova Scotia is higher among males. However, the unemployment rate for females increased by 2.7 % from 6.3% in 2019 to 9.0% in 2020.
British Columbia Unemployment Rate
According to Statistics, B.C.’s unemployment rate was at 6.6. There was a decrease from the previous rate of 7.1 per cent. Thus, it is among the provinces that have a low rate of unemployment in Canada.
Quebec Unemployment rate
In 2020, 8.8 percent of the labor force was unemployed in Quebec. However, the rate continues to go down a bit in 2021.
Rate of unemployment in Quebec
Year Unemployment rate
Northwest Territories Unemployment rate
In 2020, 8.4 percent of the labor force in the Northwest Territories was unemployed. This is a slight increase from the previous year, when the unemployment rate stood at 8.2 percent. Thus, it one of the province with low unemployment rate in Canada.
Saskatchewan Unemployment Rate
In September 2021, Saskatchewan’s seasonally-adjusted Canada unemployment rate was 6.3 per cent, down from 7.1 per cent in August 2020. Thus, it has the third-lowest unemployment rate in Canada.
Also, Saskatchewan is among the provinces at 6.3 per cent in September 2021. This means that it is below the national average of 6.9 per cent.
Manitoba Unemployment rate
Manitoba is among the provinces with unemployment average less that the national average of 9.3%. This, in 2020, 7.9 percent of the labor force in Manitoba was unemployed in.
Yukon Unemployment Rate
According to reports, Yukon has Canadian unemployment rate of 4.5. This means that it is the province with the lowest unemployment average in Canada.
However, this was a slight increase by 0.5 % than in November 2019. However, compared to November 2019, Yukon’s labor force decreased by 200 to 22,200. Thus, the number of employed decreased by 400 to 21,100.
However, in 2020, 5.2 percent of the labor force in Yukon was unemployed. Though, it was an increase from the previous year. This was when the unemployment rate was 3.6 percent.
Canada Unemployment Rate Table
The table below shows the unemployment rate in Canada by province:
Province Unemployment rate
Newfoundland and Labrador 13.7%
Prince Edward Island 10.4%
New Brunswick 9.8%
Nova Scotia 9.6%
British Columbia 8.8%
Northwest Territories 8.4%
Unemployment Rate By Big Cities
Normally, some big cities offer more employment than others. In other words, there are certain cities in Canada where you have more chances of being employed than others.
Therefore, the statistics below statistic shows the Canada unemployment rate in 2020 for big cities in Canada.
About 11.8 percent of the labour force in the Calgary metropolitan area (Alberta) was unemployed.
Therefore, below is a table showing the unemployment rate in Canada by big cities.
Unemployment rate in Canada by Cities
Metropolitan area Unemployment rate
Calgary, Alberta 11.8%
Edmonton, Alberta 11.8%
Windsor, Ontario 11.5%
Toronto, Ontario 10.8%
Saint John, New Brunswick 10.2%
Peterborough, Ontario 10.2%
Montréal, Quebec 10.1%
Kitchener-Cambridge-Waterloo, Ontario 9.8%
Saskatoon, Saskatchewan 9.6%
St. Catharines-Niagara, Ontario 9.6%
St. John’s, Newfoundland and Labrador 9.6%
Barrie, Ontario 9.5%
Oshawa, Ontario 9.2%
Guelph, Ontario 9.1%
Vancouver, British Columbia 9.1%
Hamilton, Ontario 8.8%
London, Ontario 8.7%
Winnipeg, Manitoba 8.7%
What is Employment Insurance?
Unemployment Insurance is the employment benefit given to individuals who lose their jobs in Canada. So, if you are eligible to work in Canada and you are available for work. But you are not employed, you are entitled for unemployment benefits in Canada.
What is the basic rate for Unemployment benefits?
The basic rate for calculating Employment Insurance (EI) benefits is 55% of their average insurable weekly earnings. However, the maximum amount is $56,300 as of January 1, 2021. Thus, this means that you can receive a maximum amount of $595 per week
Who is eligible for unemployment benefits in Canada?
Once you have an insurable 700 hours of work, you can qualify for unemployment benefits. However, you may qualify if you have between 420 and 700 insurable hours. Although this depends on the rate of unemployment in your area.
How long can you receive unemployment benefits in Canada?
You can receive unemployment benefits depending on the number of hours you qualify. However, the maximum number of weeks is between 14 to 45 weeks.