Choose your settings
Choose your language
Economic News

Quebec: The Job Market Picked Up in September

October 11, 2024
Florence Jean-Jacobs
Principal Economist

Highlights

  • Quebec added 21,700 jobs in September, the province's second consecutive monthly gain.
  • Full-time employment jumped by 50,900, while part-time employment fell by 29,100.
  • As a result, the unemployment rate dropped 0.2 points to 5.5% in September, the lowest rate of any Canadian province.
  • The unemployment rate for young people ages 15 to 24 dropped from 11.1% in August to 10.0% in September.
  • The information, culture and recreation industry made a strong contribution to the monthly increase in employment, adding 28,000 jobs (see table).
  • Higher employment in the private sector (+21,300) and among self-employed workers (+9,700) more than offset the jobs lost in the public sector (-9,200).
  • After slowing in August, annual wage growth increased in September to 5.1%, well above Quebec's inflation rate of 1.5% in August.
  • Unemployment rates vary by administrative region, with 3-month moving averages exceeding 7% in Montreal and Lanaudière but below 3% in Chaudière-Appalaches and Saguenay–Lac-Saint-Jean. 

Comments

Although unemployment is still a percentage point higher than in September 2023, some indicators are pointing to gradually improving labour market conditions. The private sector appeared more robust in August and September than in previous months and added a net 27,300 jobs in the third quarter.

Despite these positive signs, the increase in the population ages 15 and older continues to far outpace employment growth. Quebec's 2.6% annual population growth rate in August and September is the highest since provincial records began in 1977. In comparison, annual employment growth stands at just 0.2%. 

Implications

It's probably too early to convincingly say that Quebec's job market has come out of its slump. However, August and September's solid prints stand in stark contrast to the lacklustre job growth we saw in the first two quarters of the year (graph). Even though Quebec businesses aren't particularly confident right now, this is gradually improving External link.. In addition, the recovery of Quebec's GDP External link. in the first and second quarters suggests a positive economic outlook.

If demographic growth slows as expected in the coming months given the announced reduction in the number of non-permanent residents, the gap between the soaring population and more modest job gains is likely to narrow. 

NOTE TO READERS: The letters k, M and B are used in texts, graphs and tables to refer to thousands, millions and billions respectively. IMPORTANT: This document is based on public information and may under no circumstances be used or construed as a commitment by Desjardins Group. While the information provided has been determined on the basis of data obtained from sources that are deemed to be reliable, Desjardins Group in no way warrants that the information is accurate or complete. The document is provided solely for information purposes and does not constitute an offer or solicitation for purchase or sale. Desjardins Group takes no responsibility for the consequences of any decision whatsoever made on the basis of the data contained herein and does not hereby undertake to provide any advice, notably in the area of investment services. Data on prices and margins is provided for information purposes and may be modified at any time based on such factors as market conditions. The past performances and projections expressed herein are no guarantee of future performance. Unless otherwise indicated, the opinions and forecasts contained herein are those of the document’s authors and do not represent the opinions of any other person or the official position of Desjardins Group.