Canada added 64,000 jobs in September, led by seasonal surge in education workers

Canada's economy added 64,000 new workers as a surge in hiring in Quebec and B.C. was enough to offset a loss of 38,000 jobs in Alberta.

Statistics Canada reported Friday that despite the new jobs, the jobless rate held steady at 5.5 per cent as more people join the work force, too.

Canada's adult population increased by just over 82,000 people during the month, of which almost 72,000 are considered to be in the labour force — meaning they are of working age, and actively looking for employment.

The job gain was about twice as many as economists were expecting for the month, but most of them — 48,000 — were of the part-time variety.

Tu Nguyen, an economist with accounting and consultancy firm RSM Canada, says the surge in part-time work could be tied to the ongoing influx of immigrants, as "newcomers might not find full-time work right away."

"To keep the unemployment rate constant, approximately 50,000 additional jobs per month are needed given the immigration-driven population growth," she said. "September's numbers are on track to achieve this and are representative of a more balanced job market where employers are able to find talent when needed."

The job gains were also concentrated in one sector, education, which added 66,000 jobs in the month where schools are back in session.

Economist Royce Mendes with Desjardins says that apparent hiring binge hould be taken with a grain of salt as it "offset an unusual decline [of 44,000 eduction workers] in August, which was tied to the seasonal adjustment process used by Statistics Canada."

Compared to where things stood in May when the previous school year wound down, the education sector currently has 26,000 more workers than it did then.

September's hiring surge brings the two-month total to more than 100,000 workers, but Mendes says that headline figure belies some weakness beneath the surface. Despite having more workers, the total number of hours worked was flat during the month which "takes some shine off of the headline," Mendes said.

"While taken together the past two months have clearly shown significant strength in hiring, the September reading is weaker than the headline suggests."

There is weakness beneath the headline number, but that's not to suggest the job market is slumping, either. 

Hourly wages keep inching higher, up to $34.01 an hour for salaried workers. That's up by $1.63 or five per cent since last year and a faster annual pace than observed in August.

"Even as the job market has cooled, labour demand remains solid, and wage growth remains above inflation," Nguyen said. "The strikes and labour disputes this year have shown that some workers are still demanding better pay and are getting [it]."