Canada’s unemployment remained at 6.9 per cent in July, while businesses also report challenges due to over-taxation, red tape, government delays and hurdles, MP says
Newmarket-Aurora MP Sandra Cobena met with business leaders Aug. 8 to listen to their concerns as the federal Conservatives push the Liberal government regarding unemployment numbers.
Cobena hosted a closed-door event with representatives from more than 30 local businesses in Newmarket to discuss economic challenges. Alongside shadow minister for jobs and Sherwood Park-Fort Saskatchewan MP Garnett Genuis, she co-hosted the roundtable discussion to hear about the challenges businesses are facing to bring that feedback back to Parliament Hill.
Cobena said she has been hearing about the difficulties businesses are facing operating in Canada right now.
“Canada is just a very difficult country to do business with, that’s our reputation around the world,” she said. “That hurts our local businesses and businesses across the country, and so we need to look at … the fundamentals of what is holding businesses back in terms of over-taxation, red tape, government delays and hurdles that they have to go through.”
Statistics Canada released unemployment figures Aug. 8, reporting a national rate of 6.9 per cent in July and nine per cent in Toronto. Canada lost 41,000 jobs last month — a surprise decline after economists had forecasted gains — with most losses occurring in the private sector. However, the economy gained 83,000 jobs in June.
Although the unemployment rate remained unchanged from June, it remains close to the seven per cent unemployment seen in May, the highest in a non-pandemic period since 2016.
Statistics Canada said that much of the job losses were concentrated among youth aged 15 to 24, with youth employment at 53.6 per cent in July — the lowest rate since November 1998, excluding the COVID-19 pandemic.
That is an issue that Genuis said Conservatives are pushing the government on, asking for a government study on youth unemployment that he said got shut down. The Alberta-based MP said the party is travelling and hearing from people across the country before pushing forward economic-focused legislation in the fall session.
“Canada faces a serious youth unemployment crisis,” he said. “The first job a young person gets is critical for their career development … but unfortunately, that critical milestone is now being disrupted for a larger and larger number of young people.”
Genuis faulted the issue on government policy decisions, making it harder to do business, as well as the temporary immigration policy impacting the labour market.
Cobena said she heard from one local business struggling to get a permit for over a year, and investing more in the U.S.
“When that sort of decision-making happens, it is not surprising we are losing investment, and investment means job opportunities,” she said. “That is an issue I heard very early on, when I became a candidate, even, so it’s persistent.”