Windsor no longer has nation’s highest unemployment rate

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Despite adding another 1,500 net new jobs in January, the unemployment rate rose .2 per cent in Windsor and Essex County to 9.1 per cent.

That’s the second highest rate in Canada after Red Deer, Alberta’s 9.7 per cent.

The national unemployment rate fell .1 to 6.6 per cent while the Ontario rate dropped .1 to 7.6 per cent.

“We added 1,500 new jobs, so employment continues to grow in the region,” said Justin Falconer, executive director of Workforce WindsorEssex.

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“But we also added 1,000 unemployed people. There were not enough jobs to accommodate to all those returning to the workforce.”

Statistics Canada’s Labour Force Survey released Friday revealed the local participation rate, those who are employed or looking for a job, jumped by .5 to 65.3 per cent. That was a result of 2,000 more people joining or seeking to join the workforce.

The area also added another 500 new residents to bring the population for Windsor and Essex County to 408,000.

“The participation rate is the highest its been since May 2015 (66.1 per cent),” Falconer said.

“It means more employers are finding employees and there’s more income in the community. As that rate grows, so does the amount of money being spent in our community.”

Falconer said the increase in the participation rate isn’t a monthly aberration. The participation rate has increased by 2.7 per cent since January 2024.

“That’s significant growth over the year,” Falconer said.

It’s not just people looking for jobs, many are finding them despite the high unemployment rate.

Statistics Canada reports there are 13,600 more people working locally than 12 months ago bringing the number of people employed to a record-high 242,300. That’s an increase of 5.9 per cent over the last 12 months.

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Local manufacturing continued to gain momentum as it added 2,200 people last month with 52,600 people in Windsor and Essex County now working in the sector. That’s an increase of 10,700 manufacturing jobs since January 2024.

Also posting solid gains were healthcare and social assistance, which added 1,500 people, while education services grew by 1,100 jobs.

The finance and real estate and construction sectors each shrunk by 800 positions. However, construction retained healthy employment levels with 15,500 workers despite the winter weather.

“Construction is still seasonably strong and has been since last April,” Falconer said. “Last January, there were 14,700 working in construction.”

Falconer said it’s impossible to know where the employment numbers will be heading in the coming months with the threat of a trade war looming early next month. He added there’s already been substantial costs inflicted on businesses on both sides of the border trying to prepare for the possibility of tariffs.

“It’s been a huge distraction for business and community leaders,” Falconer said.

“I can’t imagine the hours and resources spent on preparing for tariffs that may not come. I think it’s likely affecting orders, future orders and economic outlooks.”

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Twitter.com/winstarwaddell

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