Current Labour Market

Unemployment Rate February

8%

Unchanged from February 2026

Average Wage

$41.55

Up 6.92% Year-over-year

Building Permits

Up $890 Million

Year-over-year

Total Employment Toronto CMA

3,709,900

Down 19,000 from February

Office Vacancy Rate

16.4%

Unchange Previous Quarter

Active Job Posts

37,400

Up 5% from January

Average Length of Job Post

21.5 Days

Up 0.5 Days Year-over-year

Toronto’s Job Market in Holding Pattern

Toronto’s economy is in a clear holding pattern. Tariffs, global uncertainty, and cautious business sentiment are weighing on momentum, particularly in the private sector. While headline indicators like building permits suggest activity, this is being driven largely by institutional projects, with private development slowing sharply – particularly in housing and condo development. Despite this, the underlying labour market remains relatively stable, with steady participation, resilient employment levels, and continued wage growth pointing to a fundamentally solid, if paused, economic footing.

 

Key labour market signals:

  • Unemployment steady but elevated: Sitting at 8%, unchanged month over month and higher than earlier-cycle lows (~6%), suggesting slack has crept into the market.
  • Employment rate flat: Holding at 62%, indicating no meaningful job growth despite population pressures.
  • Participation stable: At 67%, showing people are still engaged in the labour market—no major withdrawal despite softer conditions.
  • Self-employment ticking up slightly: Now 14%, hinting at modest shifts toward independent or fallback work as traditional hiring slows.
  • Wage growth remains strong: Mean hourly wages at $41.10, up significantly year over year continuing to outpace inflaton.
  • Wage growth is uneven: Monthly volatility (e.g., dip from Feb to March) suggests instability beneath the headline gains.
  • Labour market resilience vs. hiring caution: Core indicators (employment, participation) are stable, but not improving. Consistent with employers pausing rather than expanding.  Also seen in relatively stagnant job postings year over year.
  • Broader signal: The labour market is not deteriorating sharply, but it is not generating momentum—consistent with an economy waiting for clearer direction.

Job postings in March 2026 reflect a split economy, with strong demand at both the high-skill and frontline service ends of the labour market. Financial roles lead postings, including banking, credit, and investment managers (811), financial managers (323), and customer service representatives in financial institutions (359), pointing to continued strength in Toronto’s finance sector. At the same time, persistent demand for food counter attendants (658), cooks (424), and food service supervisors (365) highlights ongoing churn and labour shortages in hospitality. Retail roles also remain prominent, with retail salespersons (575) and trade managers (319) continuing to be in demand despite softer consumer conditions. Meanwhile, steady postings for registered nurses (355) underscore ongoing pressures in health care, and administrative officers (346) reflect baseline organizational demand across sectors. Overall, hiring is concentrated in essential services, finance, and high-turnover occupations, reinforcing the sense of an economy maintaining core functions rather than expanding into new growth areas.

 

Job Title Number of Posts
Banking, Credit and Other Investment Managers 811
Food Counter Attendants, Kitchen Helpers and Related Support Occupations 658
Retail Salespersons and Visual Merchandisers 575
Cooks 424
Food Service Supervisors 365
Customer Services Representatives - Financial Institutions 359
Registered Nurses and Registered Psychiatric Nurses 355
Administrative Officers 346
Financial Managers 323
Retail and Wholesale Trade Managers 319

 

Hiring by Sector

Toronto’s job postings continue to reflect a service-heavy economy with strong concentration in finance, professional services, health care, and retail. Over the past three months, hiring has remained broad-based but uneven, with finance and insurance dominating overall demand, while sectors like retail, accommodation and food services, and administrative support continue to show high volumes tied to turnover and replacement hiring. At the same time, knowledge sectors (professional, scientific, and technical services; information industries) remain elevated, reinforcing the city’s dual structure of high-skill growth alongside persistent frontline demand.

 

Job Postings by Sector (Last Three Months)

Sector Postings
Finance and insurance 4,178
Retail trade 2,487
Health care and social assistance 2,239
Professional, scientific and technical services 2,216
Administrative and support services 1,984
Accommodation and food services 1,025
Information and cultural industries 812
Educational services 756
Other services (except public admin) 532
Manufacturing 517
Construction 365
Real estate and rental and leasing 363
Public administration 334
Wholesale trade 316
Transportation and warehousing 188
Arts, entertainment and recreation 159
Utilities 97
Management of companies 80
Mining and extraction 6
Agriculture and related 12

 

Key Takeaways

  • Finance dominates hiring: With over 4,000 postings, finance and insurance is the clear anchor of Toronto’s labour demand.
  • Service economy remains central: Retail, hospitality, and administrative support collectively represent a large share of postings, driven by turnover and steady baseline demand.
  • Health care pressure continues: Over 2,200 postings signal ongoing system strain and persistent recruitment needs.
  • Knowledge sectors still strong: Professional services and information industries remain elevated, indicating continued demand for high-skill workers.
  • Goods-producing sectors lag: Manufacturing (517) and construction (365) are comparatively modest, aligning with broader economic caution and slowing private investment.
  • Public and institutional stability: Education and public administration postings suggest steady, non-cyclical hiring.
  • Long tail of smaller sectors: Transportation, arts, and utilities show activity but are not driving overall labour demand.

 

Author

  • Toronto Workforce Innovation Group is a non-profit and independent research organization devoted to finding and promoting solutions to employment-related problems in the Toronto Region.

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April 2026 Labour Lowdown
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