Canada Unemployment Figures Hits A Record-Low

Canada Unemployment Figures Hits A Record-Low

The job market in Canada is showing signs of improvement, with the unemployment rate hitting a new low in October. The economy added more than 20,000 jobs last month and unemployment fell to 6.9 percent.

This marked the first time that figure has fallen below seven percent since February 2008. It’s not only the job market that is improving, but also wages. In October, the average hourly wage rose 0.6 percent from September and reached $26.76 per hour.

The highest level since June 2015 and it’s likely to keep rising as companies become more willing to raise wages to attract talent.

With more people getting jobs and wages rising at a steady pace, Canadians have seen their spending increase accordingly over the past few months as well.

The strong demand for consumer goods coupled with low prices has contributed to an ongoing retail sales boom that is projected to continue through the end of this year. With so many factors working in favor of consumers these days.

It’s no wonder that household debt levels are continuing to decline at an unprecedented pace. Here are three reasons why you should be optimistic about the Canadian economy right now:

People Are Getting Jobs In Canada

While October saw a decrease in the unemployment rate, the number of unemployed people still rose by 34,000. More people looking for work doesn’t necessarily mean that the economy is getting stronger.

Hence, it’s a positive sign that more people are getting jobs each month. The unemployment rate fell because more people entered the workforce to look for jobs, which also means that more people are getting paycheques.

And when more people are getting pay cheques, it means they have more money to spend on everything from housing to groceries. With more people getting jobs and wages rising at a steady pace. Canadians have seen their spending increase accordingly over the past few months as well.

The strong demand for consumer goods coupled with low prices has contributed to an ongoing retail sales boom that is projected to continue through the end of this year.

With so many factors working in favor of consumers these days, it’s no wonder that household debt levels are continuing to decline at an unprecedented pace.

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Wages Are Rising Steadily

Hence, with more people getting jobs and wages rising at a steady pace, Canadians have seen their spending increase accordingly over the past few months as well.

The robust demand for consumer goods coupled with low prices has contributed to an ongoing retail sales boom that is projected to continue through the end of this year.

 

Debt Levels Are Dropping At An Unprecedented Pace

The strong demand for consumer goods coupled with low prices has contributed to an ongoing retail sales boom that is projected to continue through the end of this year in Canada.

These factors work in favor of consumers these days, hence, household debt levels are continuing to decline at an unprecedented pace.

Consumers Are Spending Because They Have More Money

With the job market in Canada improving and wages finally starting to rise at a steady pace, more Canadians are finding jobs and getting pay cheques. As more people get paycheques, they spend more money.

With all this extra money in the economy, consumers are becoming increasingly willing to spend it on big-ticket items like homes and cars. With interest rates low and affordability improving, more Canadians are getting equity in their homes and now have extra money to put towards the up-front costs of buying a new car.

As debt levels continue to come down and more people have the extra money in their pockets, consumer spending is expected to remain strong. With so many positive factors working together in the Canadian economy right now, there’s no reason to be pessimistic. The best is yet to come, and you’d better believe it!