Your Business News

Canada added 41,400 jobs in April amid resilient labor market

May 5, 2023

Authored by RSM Canada LLP

Ian L. FitzPatrick, CPA,CA, CBV shared this article

REAL ECONOMY BLOG | May 05, 2023

Canada’s labor market remained resilient in April despite increasing recession fears. All key numbers released by Statistics Canada on Friday came in stronger than expected—maybe too strong for the Bank of Canada’s comfort as it tries to tame inflation.

The jobs report should raise the chance of a rate hike in June, yet we don’t think it will be as high as a half-percentage point.

The top-line net increase in employment was 41,400, driven mainly by services like trade, transportation and information.

Canada jobs change

Wages grew by 5.2% on a year-ago basis, unchanged from the prior month. We do not put too much emphasis on this number, though, because it was distorted by the composition of the data. Full-time employment—which includes workers with higher-paying jobs—dropped by 6,200 in April while part-time employment—those with lower-paying jobs—rose by a sharp 47,600.

Still, the strong jobs report should get the attention of the Bank of Canada as it weighs its next move in June.

While the data offers some sign that a soft landing is possible, it is important to keep in mind that the labor market often lags behind other indicators. Once the jobs market starts to deteriorate, it is often on a nonlinear path downward.

We maintain our forecast of a 60% chance that the economy will tip into a recession by year’s end. But with the new employment data, we still expect the next recession to be mild and brief.

Canada wages

Let's Talk!

Call us at 1 855 363 3526 or fill out the form below and we'll contact you to discuss your specific situation.

  • Topic Name:
  • Should be Empty:

This article was written by Tuan Nguyen and originally appeared on 2023-05-05 RSM Canada, and is available online at

RSM Canada Alliance provides its members with access to resources of RSM Canada Operations ULC, RSM Canada LLP and certain of their affiliates (“RSM Canada”). RSM Canada Alliance member firms are separate and independent businesses and legal entities that are responsible for their own acts and omissions, and each are separate and independent from RSM Canada. RSM Canada LLP is the Canadian member firm of RSM International, a global network of independent audit, tax and consulting firms. Members of RSM Canada Alliance have access to RSM International resources through RSM Canada but are not member firms of RSM International. Visit for more information regarding RSM Canada and RSM International. The RSM trademark is used under license by RSM Canada. RSM Canada Alliance products and services are proprietary to RSM Canada.

FCR a proud member of RSM Canada Alliance, a premier affiliation of independent accounting and consulting firms across North America. RSM Canada Alliance provides our firm with access to resources of RSM, the leading provider of audit, tax and consulting services focused on the middle market. RSM Canada LLP is a licensed CPA firm and the Canadian member of RSM International, a global network of independent audit, tax and consulting firms with more than 43,000 people in over 120 countries.

Our membership in RSM Canada Alliance has elevated our capabilities in the marketplace, helping to differentiate our firm from the competition while allowing us to maintain our independence and entrepreneurial culture. We have access to a valuable peer network of like-sized firms as well as a broad range of tools, expertise, and technical resources.

For more information on how FCR can assist you, please call us at 1 855 363 3526

Important Notice:

FCR will now redirect you to CCH Portal where your FCR Client Portal login is located.

Share This