41,700 jobs created in July, not 200, StatsCan corrects itself

A sign advertising jobs is seen here on College Street East in Belleville, ON., Feb. 11, 2014....

A sign advertising jobs is seen here on College Street East in Belleville, ON., Feb. 11, 2014. (EMILY MOUNTNEY/QMI AGENCY FILE PHOTO)

Reuters

, Last Updated: 9:23 AM ET

OTTAWA - Canada created 41,700 jobs in July, considerably more than expected, and the unemployment rate dropped to 7% from 7.1% in June, according to revised data Friday by Statistics Canada.

Statistics Canada had, on Aug. 8, reported a net gain of just 200 jobs in July. It withdrew that data on Aug. 12, citing a flaw in the way the figures had been processed.

Market analysts had forecast a gain of 20,000 jobs.

Still, the revised data reflects a sluggish Canadian economy. The year-over-year employment gain was only 156,800 jobs, or 0.9%, while the six-month moving average for employment growth grew to 10,900 in July from 8,800 in June.

The labour force participation rate remained at 66.1%, the lowest since the 66% seen in November 2001.

Statistics Canada said 59,900 part-time positions were created in July, while full-time jobs dropped by 18,100. Due to a human error, the agency initially reported 60,000 new part-time jobs and a loss of 59,700 full-time positions.

In a statement, Statistics Canada's chief statistician Wayne Smith described the July mistake as "an isolated incident" and said he had full confidence in the integrity of the overall labour force survey program.


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