Ontario Sees Largest Labour Force Decline Since 1976, Excluding Pandemic
Ontario records steepest drop in labour force since 1976, excluding pandemic

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Ontario's labour force shrank by 71,300 jobs in the first quarter of 2023, marking a 0.8% decline, the steepest since 1976, excluding pandemic periods. The unemployment rate for youth aged 15 to 24 rose to 15.9%, while job losses were significant in manufacturing and retail sectors.
- 01The Financial Accountability Office of Ontario reported a labour force decline of 71,300 from January to March 2023.
- 02This decline represents a 0.8% drop, the largest since tracking began in 1976, excluding pandemic lockdowns.
- 03The unemployment rate for youth aged 15 to 24 increased to 15.9%.
- 04Job losses were primarily noted in the manufacturing, science, retail, and accommodation sectors.
- 05Critics, including Ontario NDP MPP Jessica Bell, have blamed the provincial government for the poor job numbers and lack of economic planning.
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Ontario's labour force experienced a significant decline in the first quarter of 2023, with a reduction of 71,300 jobs, representing a 0.8% drop, the steepest since records began in 1976, excluding pandemic-related periods. This downturn has raised concerns among political leaders, with Ontario NDP MPP Jessica Bell labeling Premier Doug Ford's administration a 'jobs disaster.' The report from the Financial Accountability Office of Ontario highlighted that while the unemployment rate for individuals aged 25 to 54 and those 55 and older saw a slight decrease, the youth unemployment rate surged to 15.9%. Major job losses were reported in sectors such as manufacturing, science, retail, and accommodation and food services. Critics, including Ontario Liberal MPP Stephanie Bowman, have criticized the government for misallocating funds towards commercial advertising rather than enhancing economic growth. The Ministry of Finance did not respond to requests for comment regarding these findings.
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The decline in jobs could lead to increased financial strain on households and reduced consumer spending in Ontario.
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