Canada’s latest labour market data is a reminder that even developed economies are not immune to sudden shocks—an insight Indian employees would do well to take seriously.
In July, Canada shed around 40,800 jobs, erasing the strong gains made just a month earlier. The employment rate fell to 60.7%, the lowest in eight months, while youth unemployment jumped to 14.6%—the sharpest non-pandemic spike in over a decade. Those aged 15–24 saw their employment rate sink to levels last recorded in the late 1990s.
The trigger? A combination of U.S. tariffs on steel, aluminium, and automobiles, tighter industrial margins, and cooling hiring sentiment. Manufacturing, information services, recreation, construction, and business support roles saw some of the steepest declines, while transportation and warehousing managed a modest uptick, adding about 26,000 jobs.
From an Indian employee’s perspective, three lessons stand out:
- Trade policy can hit closer to home than expected: India’s growing integration with global supply chains means external tariffs or sanctions elsewhere can impact domestic jobs indirectly.
- Youth are most exposed in downturns: Fresh graduates and early-career professionals need a broader skill toolkit to stay employable when entry-level demand contracts.
- Sectoral agility is vital: Shifting into resilient industries like logistics, healthcare, or technology can provide a buffer against cyclical shocks.
Interestingly, despite the job cuts, Canadian wages inched up, suggesting that specialised skills still command value even in a weak market. For Indian workers, this reinforces the case for continuous upskilling—particularly in areas where technology and domain expertise intersect.
In an era where layoffs can be triggered by boardroom policy or border disputes halfway across the world, India’s workforce will need to cultivate adaptability, sectoral mobility, and global awareness to weather the next wave of disruption.
Source – https://www.bwpeople.in/article/canadas-job-loss-wave-offers-lessons-for-indian-workforce-566864