A gloomy outlook for Ontario’s labour market
The Financial Accountability Office of Ontario (FAO) released its 2025 labour market performance report last Wednesday morning.
The FAO is an independent watchdog whose mandate is to provide non-partisan financial and economic analysis to the Legislative Assembly of Ontario.
Here are a few points worth mentioning:
Ontario only added 80,900 jobs in 2025, down from 140,000 in 2024 and the slowest pace of job creation since 2015, excluding the pandemic.
A majority of the new jobs created were in below-average wage industries.
The unemployment rate increased to 7.7% in 2025, up from 7.0% in 2024.
Ontario has the third highest unemployment rate in Canada, behind Prince Edward Island and Newfoundland and Labrador.
Ontario recorded the largest increase in the unemployment rate in Canada for the second consecutive year.
The unemployment rate increased in all large urban centres, except for St. Catharine’s-Niagara who experienced a slight decrease of 0.6%.
The unemployment rate in Ottawa-Gatineau is now 6.5%, an increase of 0.8%.
Incredible job losses were recorded in tariff-impacted industries, including 8400 jobs lost in manufacturing, 6400 jobs lost in agriculture and 3700 jobs lost in transportation and warehousing.
These numbers paint a very gloomy picture of Ontario’s labour market.
It’s important for Ontarians to have access to independent reports like this one. They offer a more realistic and honest representation of the current labour conditions in Ontario. These gloomy statistics coupled with Ontario’s nearly half-a-trillion dollar debt points to the fact that Ontario’s economy isn’t as rosy as the government touts.
Our Proposals
MPP Blais' & his colleagues have been pointing out the weak labour market and economic conditions for years. The jobs downturn began BEFORE Donald Trump was elected President and things have only gotten worse.
“We proposed removing HST from home heating and electricity bills. The Government voted NO.
We proposed a middle class income tax cut to leave more money in families’ pockets. The Government voted NO.
We proposed a 50% cut in small business taxes to help create jobs. The Government voted NO.
We proposed the creation of a youth jobs program to get more young people working; contributing to our economy and social safety net. The Government voted NO.
We proposed a tax credit for families who place their kids in sports and extracurricular activities. The Government voted NO.
It’s time for the Government to stop saying NO and start listening to good ideas, no matter who they come from.”