Canada’s Unemployment Rate Rises to 7.1%, Highest Since 2016
Hamrakura
Published 2025 Sep 07 Sunday
Kathmandu: Canada’s unemployment rate has climbed to 7.1 percent in August 2025, marking the highest level since May 2016, according to Statistics Canada.
The latest data shows that unemployment has risen by 0.5 percent since January 2025, with a total of 1.6 million people jobless in August, up by 34,000 compared to July. Before the COVID-19 pandemic, Canada’s unemployment rate had averaged around 6 percent between 2017 and 2019.
Southern Ontario has been particularly affected, with some of the highest unemployment figures among Canada’s 20 major metropolitan areas. Windsor recorded 11.1 percent, Oshawa 9 percent, and Toronto 8.9 percent.
Economists have linked the rise in unemployment to ongoing economic uncertainty caused by U.S. tariffs, which have badly hit motor vehicle exports, a key industry in the region.
