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In October 2025, Canada鈥檚 job market expanded, backpedalling from previous declines and exceeding expectations. The unemployment rate dropped to 6.9% from 7.1% in September. Further, the economy added a net 66,600 jobs in October, following a gain of 60,400 the previous month, helping offset most of the losses seen in July and August.

All of the job growth in October was in part-time employment, which rose by 85,000, while full-time employment decreased by 18,500. The increase was driven by the private sector, marking the first rise since June. Analysts had forecast a jobless rate of 7.1% and expected a loss of 2,500 jobs, making the actual figures a positive surprise.

Youth unemployment, which had reached a 15-year high in September, declined to 14.1% in October, marking the first drop since February. Employment among the core working-age group (25 to 54 years), which makes up two-thirds of the labour force, increased by 38,800 jobs.

Also Read: Manitoba PNP Issues 47 Invitations in First November 2025 Draw

The sectors focusing on most of the job gains were the wholesale, retail, transportation, and warehousing sectors. Retail and wholesale are part of the services sector, which is Canada鈥檚 largest employer with nearly 15% of the workforce and added 40,700 jobs in October. Four out of five Canadians work in the services sector.

The average hourly wage for permanent employees rose by 4.0% in October, up from 3.6% in September, a key indicator for inflation. The positive job numbers also increased the Canadian dollar, which strengthened to 1.4065 against the U.S. dollar.

Overall, the Canadian job market鈥檚 performance in October reflects a healthy recovery, but sectoral tariffs continue to impact growth in industries like steel and automotive.

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Canada鈥檚 job market is showing promising growth, with a surprising addition of 66,600 jobs in October 2025 and unemployment falling to 6.9%. If you are a skilled professional seeking to capitalise on Canada鈥檚 improving employment landscape and new immigration pathways, expert guidance can make all the difference.

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