The number of Canadian payroll employees decreased in a few sectors in February. Remember, companies in various Canadian industries are facing significant financial difficulties because of COVID-19. Additionally, many workers may get exposed to loss of income or even redundancy.
The Wholesaling Retail Sector
For example, in February, the most significant month-over-month change was in the retail wholesaling sector. This sector lost 5,500 jobs. This loss of employment is a factor that experts attribute to the scarcity of commodities and manufactured goods.
Moreover, this scarcity of commodities and manufactured goods most likely stems from a single cause. This cause is the impact of the COVID-19 pandemic in the Chinese market in February. With all the labor cost reduction measures undertaken since the period now behind us, there is, therefore, a risk of approaching the point of equilibrium below which hiring will continue to decrease in a few sectors.
Hence, unemployment in the Canadian market will quickly react to the issues caused by COVID-19, but the return to equilibrium will likely be much quicker as well. Beyond that, the Canadian administration says it wants to put an end to a situation that is currently less favorable for workers in the Canadian job market. Thus, you should continue reading this article, as I detail the impact of the COVID-19 pandemic on the Canadian job market.
Also, a few sectors are taking steps to best support the workers in the Canadian job market despite the measures put in place to prevent the spread of COVID-19.
The Questions That You May Have About the Canadian Job Market in February 2020
Also, I will answer the most frequently asked questions that you may have about the Canadian job market. For example, some of the sectors that lost jobs in February were the sectors of wholesale trade, food services, and the accommodation sector. Thus, a few issues may occur due to the health crisis and containment. As an illustration, there exists a sharp drop in the number of people employed in these sectors for February.