VPWS Feb ‘25 Labour Market Update
Snowstorms & Stability: February’s Labour Market Holds Steady, But Tells a Deeper Story
As a lot of Canada dug itself out from under February’s snowstorms, the labour market seemed to be doing the same - steady on the surface, but shifting underneath.
Here’s what we’re watching from this month’s Canadian Labour Force Survey (LFS):
🔹 Overall Employment: Calm After the Climb
After three strong months of growth (+211,000 jobs from Nov to Jan), February held steady with a modest change of just +1,100 jobs. The national employment rate stayed put at 61.1%, and unemployment remained unchanged at 6.6%.
Total hours worked dipped 1.3%—the biggest drop since April 2022—largely thanks to Central and Eastern Canada being snowed in. Nearly 430,000 Canadians lost work hours due to the weather, over 4x the usual average.
🔹 Women in the Workforce: Gains & Gaps
Core-aged women (25–54 years) led the gains with +27,000 jobs. Their employment rate held strong at 80.5%, still above pre-pandemic averages.
But there’s a catch—
15.7% of these women are working part-time, often due to childcare demands.
7.6% are working multiple jobs (compared to 5.2% of men).
And the gender wage gap persists: they earn an average of $0.88 to every $1.00 earned by men. Unacceptable!
The labour force participation rate for youth and older adults declined slightly, hinting at a continued shift in workforce dynamics.
🔹 Sector Snapshot: Retail Bounces Back, Tech Slips
📈 Wholesale & Retail Trade: +51,000 jobs
💼 Finance, Insurance & Real Estate: +16,000 jobs
💻 Professional, Scientific & Technical Services: -33,000 jobs
🚚 Transportation & Warehousing: -23,000 jobs
Retail and finance rebounded after a slower 2024, while professional services and transportation saw some contraction.
🔹 Provincial Trends: Nova Scotia Dips
Nova Scotia stood out with a drop of -4,300 jobs (mainly part-time), raising its unemployment rate to 6.6%. The rest of Canada? Relatively unchanged.
📍 Unemployment snapshot by province:
✅ Lowest: Quebec (5.3%)
⚠️ Highest: Newfoundland & Labrador (10.5%)
Ontario saw a slight uptick in employment and a dip in job seekers, bringing its unemployment rate down to 7.3%.
🔹 Mobility Matters: Canadians More Open to Relocating
30% of working-age Canadians said they’d be willing to move provinces for the right job—up from 26.8% in 2022. Willingness was highest in Manitoba, Saskatchewan, and Newfoundland & Labrador. (Who'd want to leave the Rock, b'y?!)
Still, 73% of those not open to moving cited personal or family reasons. It’s a good reminder: talent mobility isn’t just about job availability—it’s about people’s lives.
👀 What It Means for Employers
Core-aged women are a key talent group - but flexibility and equitable pay are essential.
Shifts across sectors highlight the need to stay agile in your workforce strategy.
Canadian weather isn’t just a small talk topic—it directly impacts productivity and scheduling.
Candidates may be open to relocating, but culture and personal fit still matter most.
At VP Workforce Solutions, we help you look beyond the numbers to build real, resilient workforce strategies.