Looking at the unemployment figures of a country can be an indicator of its economic situation. When the economy is strong, unemployment generally goes down. In Canada, similarly to many other countries, unemployment peaked during COVID-19 but has since returned to more normal figures.

In this article, we look at the unemployment statistics in Canada, including unemployment rates across the provinces and territories, in different age groups, and among men and women. We also look at the unemployment rates across the world, including the world’s largest economies to see how Canada compares internationally.

Unemployment Statistics for Canadians

  • Canada’s unemployment rate was 6.8% in December 2025.
  • Nunavut has the highest unemployment rate in Canada at 15.4%
  • The lowest unemployment rates in Canada are in Northwest Territories (4.2%) and Yukon (4.3%).
  • Newfoundland and Labrador has the highest unemployment rate among men and women, at 12.7% and 8.6%, respectively.
  • At 14.2%, unemployment is higher among young Canadians than in other age groups.
  • The accommodation and food services industry continues to have the highest unemployment rates in Canada.
  • South Africa has the highest unemployment rate in the world while Qatar has the lowest at 32.8% and 0.1%.
  • Among the largest economies in the world, Japan had the lowest unemployment rate in 2025 at 2.5%.

Unemployment in Canada

Before the COVID-19 pandemic in 2019, the unemployment rate in Canada was 5.7%. When the pandemic forced people to stay at home and businesses in several industries, including hospitality, beauty, and fitness industries had to close their doors, the unemployment rate rocketed.

The overall unemployment rate for 2020 was 9.72% with the highest peak in May when the unemployment rate rose to 13.4%. When restrictions were slowly lifted and businesses could reopen their doors, the employment rate began to recover with the overall employment rate falling from almost 10% to 7.51%

However, that was still higher than the pre-pandemic unemployment rate in Canada. It took another year for the rate to fall back to more normal figures. The average unemployment rate for 2025 was 6.8%.

Unemployment Rates Across Canada

The unemployment rate in Canada was 6.8% in December 2025. This is 0.1% higher than it was in the same month the year before. However, the unemployment rates vary across the Canadian provinces and territories. Nunavut had the highest unemployment rate in Canada at 15.4%, while Yukon and Northwest Territories had the lowest at 4.3% and 4.2%, respectively, in December 2025. 

Here are the employment rates for all Canadian provinces and territories. The unemployment rates are from December 2025.

  • Alberta 6.8%
  • British Columbia 6.4%
  • Manitoba 5.7%
  • New Brunswick 6.6%
  • Newfoundland and Labrador 10.7%
  • Northwest Territories 4.2%
  • Nova Scotia 6.5%
  • Nunavut 15.4%
  • Ontario 7.9%
  • Prince Edward Island 7.3%
  • Quebec 5.4%
  • Saskatchewan 6.5%
  • Yukon 4.3%

Unemployment Rates Among Canadian Men and Women

There are differences in the unemployment rates between Canadian men and women. For example, the unemployment rate for men over 15 years of age was 7.0% while it is 6.6% for women over 15 in December 2025.

The highest unemployment rate among men over 15 was in Newfoundland and Labrador at 12.7%. Newfoundland and Labrador also had the highest unemployment rate among women over 15 at 8.6%.

The lowest unemployment rates for male workers were in Manitoba with 5.0%, Quebec with 5.9%, and British Columbia with 6.3%. The lowest rates for female workers are in Quebec with 4.7%, New Brunswick with 5.4%, and Nova Scotia with 5.6%.

Unemployment in Different Age Groups

The unemployment rates differ between age groups and Canadians between 15 and 24 years of age are more likely to be unemployed compared to older Canadians. Overall, the unemployment rate is 14.2% in this age group with the highest unemployment rate in Ontario at 18.0% and the lowest in Quebec at 8.9%. The unemployment rate is higher among young men than women at 15.9% compared to 12.3%.

Unemployment is lowest among the core working age group, which is 25 to 54-year-olds. The overall unemployment rate for this age group is 6.0%. Newfoundland and Labrador has the highest unemployment rates at 8.6% and Quebec has the lowest at 4.7%. In this age group, women are slightly more likely to be unemployed at 5.9% compared to men at 6.0%.

The final age group is the over 55-year-olds where the overall unemployment rate is 5.1%. The highest rate (11.4%) was in Newfoundland and Labrador and the lowest rate was in Manitoba (3.9%). Men (5.6%) were more likely to be unemployed among the over 55s than women (4.6%) in December 2025.

Changes in Unemployment Rates

After remaining largely unchanged in November, the unemployment rate among Canada’s core-aged women showed little change in December 2025. There was also only a marginal change in the unemployment rate among men in the same age group, with both rates remaining close to 6%.

The biggest change was among younger workers. The unemployment rate for men aged 15 to 24 rose by 0.3% in December, while it remained virtually unchanged among women in this age group. Compared with December 2024, the unemployment rate was 1.1% higher among young men and 1.0% higher among young women, which indicates ongoing labour market pressures for Canadian youth at the end of 2025.

Unemployment Rates in Different Industries

The unemployment rates do not only vary across the provinces and territories, gender, and age groups but also between different industries. At the end of 2025, the accommodation and food services industry had one of the highest unemployment pressures in Canada, as employment in this sector fell by about 1.0% in December and the industry continued to face above-average joblessness compared with the overall unemployment rate of 6.8%.

Other industries recording notable job losses in December included professional, scientific and technical services, and utilities, reflecting weaker demand in these sectors at year-end.

At the end of 2025, the lowest unemployment pressures were observed in some health care and social assistance roles, which added jobs (+0.7%), and in other services such as personal and repair services (+2.0%), both outperforming broader industry trends.

How is the Unemployment Rate Likely to Change in Canada?

While predictions about future unemployment rates can be made based on past and current trends, it needs to be remembered that they may not always be accurate because unemployment rates are impacted by a range of variables, such as world events and population growth, which in themselves are not always easily predictable.

However, based on historical and recent data, Canada’s unemployment rate remained elevated through 2025, averaging close to 6.8% by the end of the year. Looking ahead, forecasts suggest the unemployment rate will begin to ease gradually. Projections indicate it may decline to around 6.3% in 2026, before edging closer to 6.0% between 2027 and 2028, as economic growth stabilises and labour market conditions improve.

Where Can You Find the Latest Information on Unemployment Figures in Canada?

Because the rate of unemployed persons changes every month, the Statistics of Canada and the Government of Canada update the information on unemployment on their websites every month. In Canada, they are the best sources of information on unemployment.

Highest and Lowest Unemployment Rates in the World

At the end of 2025, the highest unemployment rates were found primarily in Africa and conflict-affected regions. The unemployment rate was highest in South Africa at 32.8%. It was followed by Djibouti at 27.9%, West Bank and Gaza at approximately 28.5%, Eswatini at 24.1%, and the Republic of Congo at around 21.6%.

The lowest unemployment rate at the end of 2025 was in Qatar, where only 0.1% of working-age adults were not in employment. It was followed by Cambodia at 0.2%, Niger at 0.5%, Thailand at 1.0%, and Burundi at 0.9%.

Unemployment Rates in the World’s Largest Economies

When compared to the world’s largest economies, Canada’s unemployment rate is higher than, for example, Japan, the United States, and the United Kingdom. The unemployment figures for the ten largest economies at the end of 2025 were:

  • Japan: 2.5%
  • Russian Federation: 3.2%
  • United States: 4.1%
  • United Kingdom: 5.0%
  • China: 5.1%
  • Canada: 6.8%
  • Germany: 6.3%
  • France: 7.6%
  • Italy: 6.0%
  • India: 8.3%

Conclusion

The unemployment rate in Canada is continually changing in response to shifts in labour demand, the number of job vacancies, and the size of the labour force. Periods of rising or stabilising unemployment often reflect broader economic conditions, including population growth and changes in hiring activity.

Unemployment levels also vary widely across the country, as well as between different demographic groups. Differences can be seen between provinces and territories, between men and women, and across age groups, with younger Canadians generally experiencing higher unemployment than older workers.

Because unemployment and employment conditions are constantly evolving, Statistics Canada publishes updated labour market data each month, providing the most current picture of Canada’s workforce and employment trends.

Frequently Asked Questions

Canada had an unemployment rate of 6.8% in December 2025. While this was higher than in some other major economies in the world, it was lower than in others. Japan, the United States, and the United Kingdom all had lower unemployment rates than Canada at 2.5%, 4.1%, and 5.0%, respectively. Canada’s unemployment rate was lower than, for example, France at 7.6%, but higher than Germany at 6.3% and Italy at 6.0%.

The lowest unemployment rates in Canada are found in Yukon and Northwest Territories where it was 4.3% and 4.2%, respectively in December 2025. The highest unemployment rate is in Nunavut where it is 15.4%. 

Unemployment rates fluctuate month to month due to changes in the number of people entering or leaving the labour force and variations in hiring or job losses across industries. Seasonal factors, economic conditions, and short-term events can also temporarily affect employment levels.