Unemployment inched down to 6.0 per cent in July, lowest rate since 1974

OTTAWA (CP) - Canada's unemployment rate edged down 6.0 per cent in July, from 6.1 per cent in June, to the lowest rate since 1974. Only Alberta showed a significant increase in jobs, however, with 14,000 more people working in the province.

There were 20,000 new manufacturing jobs created, along with 25,000 new positions in the professional, scientific and technical sectors and 17,000 more in transportation and warehousing.

Those gains, however, were offset by the loss of 57,000 positions in educational services and 13,000 more in finance, insurance and real estate.

Although Ontario's overall employment level was little changed in July, there were 27,000 new manufacturing jobs created in July. That was the first significant increase in this sector in more than a year.

The job picture in Quebec was also essentially unchanged, with the jobless rate holding at a 33-year low of 6.9 per cent. So far this year, Quebec has gained 69,000 jobs.

Nationally, job prospects were especially bright for the young, with the unemployment rate for people aged 15 to 24 hitting 10.6 per cent, a rate last seen in September 1989.

So far this year, the rate of job growth for young people is 2.1 per cent - outstripping gains among adult men (0.7 per cent) and women (1.5 per cent).

The report also noted that wages have increased and, on average, now are running ahead of inflation, after slower increases in the first quarter of the year.

In July, Canadians on average were making 3.7 per cent more than they were in July 2006, while inflation was running at 2.2 per cent.

© The Canadian Press, 2007