Canada saw 541,000 people collecting regular Employment Insurance benefits in June, marking a 12.8% jump from the same month last year, according to Statistics Canada data released Thursday.
The monthly increase of 18,000 beneficiaries represents a 3.4% rise from May, continuing an upward trend that has added 54,000 EI recipients over the first half of 2025. The unemployment rate reached 6.9% in June, up 0.5 percentage points year-over-year, according to the Labour Force Survey.
Core-aged men and older women drive increases
Men aged 25 to 54 accounted for the largest monthly increase with 7,100 new beneficiaries, while women 55 and older added 6,500 recipients in June. Core-aged women contributed an additional 3,400 beneficiaries.
Year-over-year comparisons show women 55 and older experienced the steepest proportional increase at 21.7%, followed by core-aged women at 14.5% and core-aged men at 13.0%, according to Statistics Canada.
Quebec and Ontario lead provincial increases
Quebec and Ontario combined accounted for 84.3% of June’s national increase. Quebec posted the largest proportional monthly gain at 6.1% with 7,300 new beneficiaries, while Ontario added 7,900 recipients for a 4.5% increase.
Montreal’s census metropolitan area recorded 2,900 new EI recipients, representing a 5.5% monthly increase. In Ontario, Windsor saw a 23.3% jump with 1,600 additional beneficiaries, while Oshawa gained 1,000 recipients for an 18.7% increase.
Alberta, Newfoundland and Labrador, and Saskatchewan recorded smaller increases of 2.3%, 2.0%, and 1.8% respectively.
Service sector job losses drive benefits surge
Workers previously employed in sales and service occupations represented the largest group of new EI recipients, adding 4,800 beneficiaries in June. This marks the fifth consecutive monthly increase for this sector.
Manufacturing and utilities followed with 4,300 new recipients, primarily concentrated in Ontario. Compared to June 2024, business, finance and administration occupations showed the largest year-over-year increase with 15,000 additional beneficiaries.
The data reflects changes affecting various groups including new benefit claimants, people returning to work, those exhausting their benefits, and individuals no longer eligible for other reasons, according to Statistics Canada.