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JUST IN: Canada’s Economy Loses 24,800 Jobs in January
Canada’s labour market turned negative in January as the economy recorded a net loss of 24,800 jobs, the first decline in several months.
Despite the contraction, the unemployment rate fell to 6.5%, mainly due to a drop in labour force participation rather than stronger hiring.
Full-time employment rose, but part-time jobs fell sharply, dragging overall employment lower. Manufacturing saw the biggest losses, especially in Ontario.
The data signals a cooling labour market, increasing expectations that the Bank of Canada may consider easing monetary policy later in 2026 if economic momentum continues to weaken. 
