Canada lost 7200 jobs in March. This is an opportunity for international companies looking to expand their remote workforce.
After six months of steady job creation, Canada’s job market contracted sharply in March, shedding a net 7,200 jobs. This contraction didn’t come as a surprise to economists, who have been predicting a slowdown after a series of boom months that added a record 66,800 (January) and 55,900 (February) jobs to the economy, the kind of start of year growth the country hasn’t seen since 1981. Despite the reversal, Canada’s unemployment rate didn’t budge, holding steady at 5.8%.
And while that rate is healthy, the country’s growth rate continues to be slow, hovering around 1.5% – both of which presents an opportunity for US employers.
Where the US jobs report shows strong overall growth, the Canadian jobs report shows slower growth and a gradual shift towards remote and gig work. This new openness to remote work, particularly in tech and professional services, means that there is a surplus of highly qualified candidates in hard to fill roles that US companies can engage – without going through the visa process.
Canadian tech companies have long struggled with “brain drain” thanks to top candidates being recruited by international firms promising salaries and opportunities that the Canadian market can’t match. But the current US administration’s crackdown on the H1-B visa pipeline has reversed that flow, with international and even US candidates relocating to Canada. And while the growing startup scenes in Montreal, Vancouver and the Greater Toronto Area are happy to snap up these candidates, the March report shows that some are going without full time work.
|Key Job Numbers CDN||Key Job Numbers USA|
|-7,200 jobs net|
-17,300 private sector jobs
+4,200 public sector jobs
+6,000 self-employment jobs
Wage growth 1.9%
7.6 million openings
6.5 million job seekers
Wage growth 4.9%
How CPS Can Help You Take Advantage
Canadian Payroll Services can help you take advantage of this trend, allowing you to employ top candidates in hard to fill roles, without relocating them to the US and even if their US work visa has expired. As an employer of record, we bridge the border for you, hiring your Canadian candidates as full time employees and then contracting them to you and you alone. Whether you have one candidate in mind or need an instant Canadian team, our expert HR services staff will guide you through the hiring process to ensure both you and your workers’ needs are met.
Contact us today for a quote or just to learn more about employing a Canadian worker through CPS.