Unemployment rises in both Canada and the U.S

September 4, 2009

Statistics Canada reported that the unemployment rate rose in Canada last month to 8.7 %, despite a rise in part-time employment that resulted in a net gain in employment. Because previously discouraged workers rejoined the active search for work and were not absorbed the rate of unemployment rose 0.1 %

In the U.S. according to the Bureau of Labour statistics unemployment rose to 9.7 % and more than 200,000 additional jobs were lost in August. The broader measure of unemployment known as U6 which includes discouraged and marginally attached workers and those working part-time when they would rather work full time rose to 16.8 %.The slow response of the labour market to the beginning of positive growth is a worrying sign of the true depth of the recession.More than 7 million people have lost their jobs in the U.S. since the beginning of the recession.