Net employment in Canada’s foodservice and accommodation industry rose for the third consecutive month, climbing by 100,500 jobs in July compared to June. With many restaurants reopening for on-premise services, employment improved across most of the country. Quebec and British Columbia posted the strongest gains, with net employment increasing by 45,800 jobs and 24,100 jobs respectively. In contrast, employment slipped by 2,500 jobs in Nova Scotia and was unchanged in Newfoundland and Labrador.
The increase in July brings total employment in the foodservice and accommodation industry to 920,500 jobs.
Foodservice and Accommodation Nears Halfway Mark to Recovery
In March and April, the industry lost 615,000 jobs — not including those that were employed, but not working any hours. Although the employment increase over the past three months brought back 306,000 jobs, employment remains 308,900 jobs short of where the industry was in February 2020. No other industry comes close to that type of shortfall.
While the foodservice and accommodation industry has recovered nearly 50% of its lost jobs during the pandemic, the recovery has been faster for other industries. By comparison, the wholesale/retail trade industry has recovered 74% of pandemic job losses while the manufacturing industry has recovered by 63%. As a result, it will be a long and gruelling road to recovery for the foodservice industry without further government support.
Employment Trends in Canada
Overall, net employment in Canada for all industries grew by a hefty 419,000 jobs in July compared to June. Nevertheless, employment remains 1.3 million jobs below pre-COVID-19 levels. The increase in employment lowered Canada’s unemployment rate fell from 12.3% in June to 10.9% in July.