Labour market report, April 2023

Quick facts

In April 2023:

• There were 12.7 million people in Ontario aged 15 years or older
  • 8.4 million (65.6%) were in the labour force. The labour force increased by 29,800 (0.4%) in May compared to April
  • 7.9 million (61.9%) were employed, down by 23,900, (-0.3%) from April.
• Ontario's unemployment rate increased to 5.5% in May from 4.9% in April and 63,800 people were unemployed, up by 53,700 (13.1%) from April.

Employment increased in May

Employment in Ontario decreased in May by 23,900 (-0.3%) to 7,895,500, after increasing by 32,700 (0.4%) in April. Provincial employment has been steadily increasing in recent months, however, with job gains totalling 180,200 since September 2022.

Employment in Canada decreased in May by 17,300 (-0.1%), after increasing by 41,000 (0.2%) in April. A total of 20,112,900 people were employed in Canada in May.

Chart 1 shows employment in Ontario from January 2005 to May 2023.

Full-time vs. part-time

Full-time employment accounted for all of May’s job losses (-46,000 or -0.7). . Part-time employment increased by 22,000 (1.6%) positions.

Employment change by sex and age

Employment decreased by 18,000 (-0.4%) for men, after increasing by 34,300 (0.8%) in April. Total male employment was 4,158,900 in May. Employment for women declined by 6,000 (-0.2%) in May after little change in April (-1,500 or 0.0%). Total female employment was 3,736,600 in May.

Youth (aged 15 to 24) employment accounted for all of May’s job losses, as their employment decreased by 32,800 (-0.3%) to 1,044,600 , after increasing by 12,300 (1.2%) in April. Employment for people aged 25 to 54 was little changed in May (1,200 or 0.0%) and totalled 5,107,700, after rising by 11,000 (0.2%) in April. Employment for those aged 55 and older increased by 7,700 (0.4%) to 1,743,200 in May, after increasing by 9,400 (0.5%) in April.

Employment change by industry

Ontario’s largest industry groups by employment in May were wholesale and retail trade (1,125,600 or 14.3% of total employment), health care and social assistance (960,400 or 12.2%), professional, scientific and technical services (813,900 or 10.3%), manufacturing (8122,600 or 10.3%) and finance, insurance, real estate, rental and leasing (686,100 or 8.7%).

Eleven of the sixteen major industry groups recorded job losses in May. Transportation and warehousing (-18,700 or -4.6%), wholesale and retail trade (-13,800 or -1.2%), health care and social assistance (-13,700 or -1.4%) and business, building and other support services (-12,600 or -4.2%) led job losses.

Employment gains occurred in manufacturing (20,100 or 2.5%), accommodation and food services (19,200 or 4.7%), information, culture and recreation (11,400 or 3.5%), other services (5,600 or 2.2%) and utilities (4,000 or 6.6%). Employment was little changed in forestry, fishing, mining, quarrying, oil and gas (-200 or -0.4%) in May.

Chart 2 shows industries by employment change in Ontario, April 2023 to May 2023.

Employment change by occupation

Ontario’s largest occupational groups by employment in May included sales and service (1,728,100 or 21.7% of total employment), business, finance and administration (1,368,800 or 17.2%), trades, transport and equipment operators (1,147,700 or 14.4%), occupations in education, law and social, community and government services (890,700 or 11.2%) and management (827,600 or 10.4%).

Six of the ten major occupational groups in Ontario had net employment gains in the first five months of 2023 when compared to the same period in 2022. Management occupations (73,700 or 10.0%), trades, transport and equipment operators and related occupations (65,300 or 6.2%), occupations in education, law, social, community and government services (26,600 or 3.0%), and occupations in art, culture, recreation and sport, except management (19,300 or 9.4%) led job gains.

Employment losses were recorded in occupations in manufacturing and utilities, except management (-26,900 or -6.9%), sales and service occupations (-15,600 or -0.9%), natural resources, agriculture and related production occupations (-9,500 or 11.3%) and natural and applied sciences and related occupations (-7,400 or -1.0%).

Chart 3 shows occupations by employment change in Ontario, May 2022 (year-to-date) to May 2023 (year-to-date).

Employment change in urban centres

In May 2023, employment in twelve of the sixteen Ontario Census Metropolitan Areas (CMAs) was above their May 2022 level, led by Toronto (92,300 or 2.6%) and followed by Windsor (15,500 or 8.8%) and Ottawa-Gatineau (15,000 or 1.6%)

Employment losses were recorded in four CMAs in May, led by Oshawa (-8,000 or -3.5%), St. Catharines-Niagara (-7,000 or -3.1%) and Hamilton (-6,500 or -1.6%).

Chart 4 shows employment change for Ontario Census Metropolitan Areas (CMAs) from May 2022 to May 2023.

Unemployment rate increased to 5.5%

Ontario’s unemployment rate increased to 5.5% in May from 4.9% in April. The six-percentage point increase was the largest monthly increase since August 2022 when the rate began a steady decline.

May 2023 saw Ontario’s unemployment rate was above the national average rate after falling below it in April the first time since May 2020.

The Canadian unemployment rate rose to 5.2% in May after holding steadily at 5.0% from December 2022 to April 2023. The national unemployment rate was below the rate recorded in April 2022 (5.3%).

Chart 5 shows unemployment rates, Ontario and Canada, January 2005 to May 2023.

Unemployment rate by sex, age, visible minority status and Indigenous group

The unemployment rate for women was 5.7% in May, up from 4.8% in April. The rate for men was 5.4% in May, up from 5.0% in April.

For youth aged 15 to 24, the unemployment rate rose to 13.1% in May from 10.4% in April. The unemployment rate for individuals aged 25 to 54 increased to 4.6% in May from 4.2% in April. The unemployment rate for those aged 55 and older remained at 3.3%.

In Ontario, the unemployment rate among population groups designated as visible minorities was estimated at 6.4% in May compared to a 4.9% rate for those who are not visible minorities and did not identify as Indigenous (data are three-month moving averages for the population aged 15 years and over and are not adjusted for seasonality).

The unemployment rate for Ontario’s Indigenous population was estimated at 8.2% in May compared to a 5.3% rate for the non-Indigenous population. The unemployment rate for the Indigenous population includes the rate for First Nations people living off reserve (10.1%) and individuals who identify as Métis (5.2%) (data are three-month moving averages for the population aged 15 years and over and are not adjusted for seasonality).

Unemployment rate by urban centre

In May, the average unemployment rate increased from April in eight of the sixteen Ontario Census Metropolitan Areas (CMAs). The largest increases were seen in Peterborough (5.3% in April to 7.1% in May) and Belleville (4.1% to 5.3%).

The average unemployment rate was unchanged in three CMAs in May: Greater Sudbury (4.0%), London (4.4%), and Ottawa-Gatineau (4.2%).

Five CMAs had average unemployment rates that decreased in May, led by Brantford (5.0% in April to 4.1% in May) and Kingston (5.1% to 4.3%).

Chart 6 shows the average unemployment rate for Ontario Census Metropolitan Areas (CMAs) in May 2023.

Long-term unemployment

In May, an estimated 83,900 Ontarians or 18.1% of all unemployed people were unemployed for 27 weeks or longer (long-term unemployed). This compared to 85,400 Ontarians or 20.8% of all unemployed people in April and 84,300 or 18.8% of all unemployed people a year earlier in May 2022.

The average time in unemployment was 18.8 weeks in May, above the average in April (17.6 weeks) and well below the average in May 2022 (20.7 weeks).

Chart 7 shows Ontario’s long-term unemployment (27 weeks or more) as a percentage of total unemployment, January 2005 to May 2023.

Average hourly wages by sex, age and industry

The average hourly wage rate in Ontario for employees was $34.27 in May, above the average rate across Canada ($33.25). Ontario’s average hourly wage rate in May rose by 5.1% on a year-over-year basis (by $1.67 from $32.60 in May 2022), below the 5.5% increase from April. This was the third consecutive month where average hourly wage growth was above 5.0% on a year-over-year basis.

May’s wage growth (5.1%) was above the growth seen in the Ontario Consumer Price Index (CPI) as of April (4.2%). The CPI is a measure of inflation that represents changes in prices for goods and services as experienced by consumers.

Chart 8 shows the year-over-year percentage change in Ontario’s average hourly wage rate and the Ontario Consumer Price Index (CPI), January 2015 to April 2023.

The average hourly wage rate was $32.13 for women in May, rising by 6.3% ($1.91) from $30.22 in May 2022. For men, the average hourly wage rate was $36.33, an increase of 3.9% ($1.38) from $34.95 a year earlier.

For youth aged 15 to 24, the average hourly wage rate was $19.99 in May, an increase of 4.4% ($0.84) from $19.15 in May 2022. The average hourly wage rate for individuals aged 25 to 54 rose to $37.34 in May, up 5.9% ($2.09) from $35.25 a year earlier. The average hourly wage rate for those aged 55 and older increased by 2.3% ($0.78) to $35.44 in May from $34.66 a year earlier.

In May, the industries with the largest increases in average hourly wage rates compared to a year earlier were:

1. Agriculture: +20.5% ($4.33) to $25.46
2. Forestry, fishing, mining, quarrying, oil and gas: +18.6% ($7.17) to $45.73
3. Manufacturing: +10.8% ($3.20) to $32.96

Only one industry experienced a decrease in its average hourly wage rate in April compared to a year earlier:

1. Information, culture and recreation: -3.4% (-$1.12) to $31.40

Changes in average hourly wages by industry are the result of multiple factors, including wage growth and shifts in the composition of employment by job tenure and occupation.

Download data

Source: Statistics Canada, Labour Force Survey

Chang April 2023 to May 2023 Labour Market Report:

• CSV, Chart 1, employment in Ontario from January 2005 to May 2023, 1KB
• CSV, Chart 2, industries with highest and lowest employment change in Ontario, April 2023 to May 2023, 2KB
• CSV, Chart 3, employment change for occupations in Ontario from May 2022 (year-to-date) to May 2023 (year-to-date), 2KB
• CSV, Chart 4, employment change for Ontario Census Metropolitan Areas (CMAs) from May 2022 to May 2023, 2KB
• CSV, Chart 5, unemployment rates, Ontario and Canada, January 2005 to May 2023, 2KB
• CSV, Chart 6, average unemployment rates for Ontario Census Metropolitan Areas (CMAs),May 2023, 2KB
• CSV, Chart 7, Ontario’s long-term unemployed (27 weeks or more) as a percentage of total unemployment, January 2005 to May 2023, 2KB
• CSV, Chart 8, year-over-year percentage change in Ontario’s average hourly wage rate and the Ontario Consumer Price Index (CPI), January 2015 to May 2023, 2KB

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