The coronavirus pandemic had lasting effects on Canadian employment, and it can take some time for the country to recover. Now that the pandemic is more under control, Canada is focusing on how to restore pre-pandemic employment levels, but it will be a while before all the goals are fulfilled. Employment rates across the country are slowly going up, but the labor shortages are still serious in the industries hit hardest by the pandemic.
Canada added a total of 31,000 jobs to the economy in October, which automatically led to a drop in unemployment. This is a good sign because we know that Canada is progressing towards a better future. However, the employment gains in specific industries were balanced by the deterioration in certain industries in Canada. It is safe to assume that the ongoing labor shortages across the country are not helping the situation.
Canada’s efforts to bring in more skilled workers to fulfill labor gaps in the market might be the key to complete economic recovery. Canada has to work on developing an effective plan to combat the structural workforce challenges and population issues to come out on top.
The pandemic caused the unemployment rate to go up, but recent developments are bringing the number down. Canada recorded an unemployment rate of 6.7% in October, the lowest in 20 months. However, there is room for improvement considering Canada had an unemployment rate of just 5.7% in February 2020 prior to the pandemic.