79, 000 Canada Jobs were added in December beyond all expectations and the unemployment rate reached its lowest since 1976. Statistics Canada revealed that unemployment rate reached 5.7% decreasing by 2/10ths of percentage points. This is the lowest rate of unemployment for recorded data that is available for 42 years.
Bloomberg had polled economists who had predicted a poor performance with the mere addition of 2,000 jobs. On the other hand, Jobs were added by every province in Canada. More than 50% of the Canada Jobs addition was from Quebec and Alberta provinces. These two provinces individually added more than 26, 000 jobs, as quoted by the CBC CA.
Robert Kavcic the economist at Bank of Montreal revealed in his report that the most convincing growth story was by Quebec province. The rate of unemployment reached a record low of 4.9% with strong growth of jobs in Quebec, added Kavcic.
The strong growth of job market in Canada also prompted the investors to revise the rate hike odds from the Bank of Canada at 70%. The data for the month of December also closes the figures for 2017. On the whole, 2017 was the best year for Canada in terms of jobs after 2002 with the addition of 423, 000 jobs.
Majority of the jobs added in December were of part-time nature. Nevertheless, for 2017 as a whole, most of the jobs were full time in nature with 94% or 394, 000 jobs.
Derek Holt the economist at Scotia Bank said that the statistics for job growth is a really strong indicator of employment with more than 150,000 fresh job additions in last 2 months. This also indicates the strength of job market in Canada for both private sector and full-time jobs, he added.