Canada’s labour market is showing mixed signals in 2026. While average weekly earnings in Canada continue to rise, new data from Statistics Canada reveals that hiring has slowed and payroll employment has declined across several key industries.
For workers, international students, temporary residents, and newcomers planning their future in Canada, understanding these trends is essential before making employment or immigration decisions.
Average Weekly Earnings Reach New High
According to Statistics Canada, the average weekly earnings in Canada reached $1,333.23 in March 2026, representing a 3.5% increase compared to the previous year.
Among provinces, Alberta recorded the highest weekly earnings at $1,371, followed closely by Ontario at $1,368 and British Columbia at $1,348.
The highest earnings overall were found in Canada’s northern territories:
- Nunavut: $1,874 per week
- Northwest Territories: $1,741 per week
- Yukon: $1,520 per week
Meanwhile, Prince Edward Island, Nova Scotia, and Manitoba reported the lowest average earnings but experienced some of the strongest wage growth rates in the country.
Canada Payroll Employment Continues to Decline
Despite higher earnings, Canada’s job market has weakened in recent months.
Payroll employment dropped by approximately 31,800 positions in March 2026, following another significant decline in February. Combined, nearly 70,000 payroll jobs disappeared over a two-month period.
Year-over-year employment growth remained almost flat at just 0.1%, indicating that employers are becoming more cautious about hiring.
Industries Facing the Biggest Job Losses
Several major sectors experienced notable employment declines:
- Accommodation and Food Services
- Construction
- Retail Trade
- Real Estate and Rental Services
- Other Personal Services
The hospitality sector recorded the largest decline, with restaurants and accommodation providers continuing to reduce staffing levels.
Construction also experienced back-to-back monthly losses, while retail employment has been trending downward for several years.
These industries traditionally employ large numbers of newcomers, students, and entry-level workers, making job searches more competitive.
Job Vacancies Remain Stable but Competition Is High
Canada reported approximately 500,300 job vacancies in March 2026.
Although vacancy numbers remained relatively stable compared to February, the labour market remains competitive.
Statistics Canada reported that there are now 3 unemployed individuals competing for every available job opening nationwide.
This ratio highlights a significant shift from the labour shortages experienced during the post-pandemic recovery period.
Regions with stronger job vacancy rates include Yukon and Prince Edward Island, while Ontario and Newfoundland and Labrador recorded some of the lowest vacancy rates.
What This Means for Newcomers and Future Immigrants
A rising average salary does not automatically mean the labour market is strong.
In many cases, average earnings increase because lower-paying jobs disappear faster than higher-paying positions. As a result, the average rises even though many workers may not receive meaningful wage increases.
For newcomers pursuing Permanent Residence (PR) in Canada, labour market conditions play a critical role. Employment opportunities directly impact settlement success, eligibility for immigration programs, and long-term financial stability.
As Canada prepares future immigration levels plans, labour market data will continue influencing how many newcomers are invited through programs such as:
- Express Entry
- Provincial Nominee Programs (PNPs)
- Family Sponsorship Programs
- Employer-Supported Work Permit Streams
Individuals planning their immigration journey should focus on provinces, occupations, and sectors where demand remains strong rather than relying solely on national averages.
How ICC Immigration Can Help You Build a Successful Future in Canada
Navigating Canada’s evolving immigration system can be challenging, especially during changing economic conditions. At ICC Immigration, our experienced team helps individuals and families identify the most suitable pathway toward permanent residency and long-term success in Canada.
Our services include:
Permanent Residence Applications
We assist with Express Entry, Provincial Nominee Programs (PNPs), and other immigration pathways, ensuring applications are prepared accurately and efficiently.
Work Permits and Study Permits
For individuals looking to establish themselves in Canada first, we provide guidance on temporary work and study options that can later support permanent residence applications.
Family Sponsorship
If you have eligible family members in Canada, our team can help reunite families through sponsorship programs designed to secure permanent resident status.
Professional Immigration Guidance
Canadian immigration policies frequently change. Our experts provide up-to-date advice and strategic planning to maximize your chances of approval while remaining fully compliant with current regulations.
Rather than relying on uncertain immigration pathways, choosing a structured route toward Canadian Permanent Residency can provide stability, security, and greater opportunities for your future.
Whether you are already in Canada or planning to immigrate, ICC Immigration is ready to guide you through every stage of the process with confidence and clarity.