Canadian Companies Stick to Hiring Plans Even as Slowdown Looms

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The pace of job creation is slowing in Canada, hammered by the sharp rise in interest rates, but that is yet to hold back companies from hiring as they face a tight labour market that has pushed the unemployment rate to a record low, Reuters reported. Statistics Canada is set to release its latest jobs data on Friday, and a Reuters poll forecast employment in July to rise by a net 20,000 jobs, with the unemployment rate ticking up to 5% from 4.9% after 43,200 jobs were lost in June. Canada's strong employment market has often been cited as a reason why its economy may avoid a short-lived recession. That is encouraging companies to keep hiring. Air Canada is hosting a virtual job fair to attract talent as it seeks to benefit from the post-pandemic travel rebound. "We're not seeing any evidence of a slowdown," Air Canada Chief Executive Mike Rousseau said on Tuesday about travel demand, when asked about a possible economic downturn. Data from financial information company S&P Global on Tuesday showed that the pace of job creation in Canada's manufacturing sector slowed in July. But the economy has become less reliant on goods production in recent months, with activity shifting to the services sector after provinces lifted restrictions to curb the spread of COVID-19. Read more.