Canada’s Economic Recovery

Updated: Aug 1, 2021

Statistics show that Canada's employment rates in June were increased, but it is still far from the pre-pandemic level; this reflects the economic condition in Canada in mid-June. B.C., Ontario, Quebec, and Nova Scotia were the four province that showed employment growth in June

More than 200,000 job losses have been reported in the past two months. During the last 16 months, most businesses were affected, and employment was reduced as a result. Employments especially fell in January, March, April, and may in both 2020 and 2021.


The government is gradually lifting the restrictions. For example, restaurants, hotels, bars and etc. are reopening in eight of Canada’s provinces. However, Ontario still has some restrictions such as being closed gyms and personal care services.



How about immigrants employment?

Immigrant employment statistics are not as good as the rest of the Canada. Here we make a comparison between immigrants who have lived in Canada for more than 5 years and who were born in Canada: The employment rate for immigrants in June was at about 57 per cent, whereas the employment rate for Canadian-born was at about 60 per cent.

Unexpectedly, newcomers who have lived in Canada less than 5 years have a better employment rate. This is because the number of newcomers has decreased due to flight restrictions. To be clearer, in the last 100 days, the number of very recent immigrants has decreased by 12%, while the employment rate has decreased by 7%. Given that the decline in population has been faster than their employment rate, the employment rate of newcomers was 68 percent in June that compared to the pre-epidemic level, it has increased by almost four percent.

Reviewing the trend of economic recovery

To conceive what relation between employment changes and population changes, the trend of the Canadian workforce needs to be studied. Canada’s population increased by more than 300,000 between February 2020 and June 2021. The employment rate in order to avoid lag behind the population growth rate would have had to grow in that time frame by 203,000, but it fell off by 340,000. In general, in recent months we have seen an increase of 1 to 2 percent of jobs per month.

Vaccinations improved employment

From March 2020 by now it has been very tough, but gradually the condition got better especially from the beginning of the vaccination. Vaccination continues across the country, and it appears more than 80% of Canadian residents will probably be vaccinated by the end of fall 2021. It infused hope into the community and makes businesses optimistic about Canada's economic future. Therefore, Companies have abandoned caution and are more willing to hire.

There are some signs that the Canadian economy may be shifting into recovery mode, and people looking for work will be able to find new opportunities. Hence, except for the Atlantic Provinces that have shown a negative employment rate, the rest of the provinces saw employment growth in February of 2021.


Current condition

From statistics, we find out that over 4 million are still working from home and they will be able to shift to the workplace after the pandemic completely ends. This staying-at-home has caused major changes in people's lifestyles and sometimes their mental state. Spring and especially the summer of 2021 made a good job prospect for immigrants and citizens of Canada--the condition is expected to get even better as vaccinations continue.


Summary

The Canadian employment rates in spring 2021 increased as a long winter came to an end, and unemployment fell to the lowest level in a year. Retail, food services, and hotels have seen the most damage since the Pandemic because they require a physical presence. But, the condition has improved for this group since February 2020, when some businesses were allowed to lift restrictions.

The employment rate in the food service sector reaches the level of pre-pandemic. The increase in both weather temperature and the number of people who are vaccinated have led to some restrictions being lifted and people returning to outdoor restaurants. All in all, the government and the people need to stand together to achieve stable conditions. It will be feasible, but challengeable.


Why choose us?

We have been helping many applicants to become permanent residents for years and we have a high success rate. Our clients from almost 20 different countries have experienced this with us and you can be the next successful one. We know how to prepare documents and how to make your immigration process smooth and easy for you. Contact us HERE to start the process today!


If you are not a Canadian Permanent Resident yet and you are not sure what the best way for you to immigrate to Canada is, please fill out our assessment form HERE and we will get back to you with your possible options.




9 views0 comments

Recent Posts

See All