Economy Adds 27K+ Jobs in May, Jobless Rate Hits Low

Canada produced a higher-than-expected 27,700 net new jobs in May, all of them accounted for by an increase in self-employed people.

Figures released Friday by Statistics Canada also revealed that the unemployment rate dipped to a record low of 5.4%. Analysts had predicted a modest gain of only 8,000 positions from April and a jobless rate of 5.7%. The 5.4% rate is the lowest since comparable data became available in 1976.

While on the surface, the May data looked strong, StatsCan said 33,800 public and private sector employees lost their jobs, while the number of self-employed rose by 61,500.

The nation's number crunchers concluded by saying employment in the services sector rose by a net 22,800 jobs on gains in health-care and professional services. The goods-producing sector added a more modest 4,900 positions, thanks to strength in manufacturing.