More people looking for work led to a slight rise in the London area's unemployment rate in May.
Statistics Canada released new figures on Friday that show the jobless rate for the London Census Metropolitan Area was 5.2 per cent last month, up from 4.8 per cent in April. The increase ends three straight months of declines that saw the local jobless numbers fall to a pre-pandemic low.
While at first the rise may appear to be a negative as it often signals job losses in the economy, it is being attributed to an additional 1,300 people joining the labour market in May. Another positive indicator for the London CMA, which includes St. Thomas, Strathroy, and other surrounding communities, is the creation of 1,400 new jobs. Since the start of the year, more than 4,300 new positions have been added to the local economy. The participation rate, which reflects the percentage of working-age individuals employed or looking for work, increased to 65.8 per cent, from 65.4 per cent in April.
Nationally, the unemployment rate edged down 0.1 percentage points in May to 5.1 per cent, a new record low. In April the jobless rate was 5.2 per cent. The economy added 40,000 jobs, driven by gains in full-time work among young and core-aged women.
In Ontario, the rate went up slightly to 5.5 per cent last month. The jobless rate in April was 5.4 per cent.