Alberta unemployment slides below national rate to sit at 6.8%

The unemployment rate dropped this past month, showing resiliency in the face of tariffs. But despite that, one group is still struggling to find work.

Unemployment in Alberta dropped last month, lowering it under the national rate.

Statistics Canada released its June 2025 Labour Force Survey on Friday, which showed Alberta’s jobless number sitting at 6.8 cent, below Canada’s 6.9 per cent and significantly less than the 7.4 per cent the province recorded in May.

According to the report, employment in Alberta rose by 30,000 (1.2 per cent) driven by full-time work—the second increase in three months.

In a statement, Minister of Jobs, Economy, Trade and Immigration Joseph Schow said the increase in employment is “wonderful news.”

“This growth in employment has led to Alberta’s unemployment rate dropping,” he said.

“While there is more work to do, our province is moving in the right direction as more Albertans are getting the paycheques they need to get ahead.”

Rob Roach, ATB’s deputy chief economist, points to pent-up hiring caused by the threat of tariffs from U.S. President Donald Trump.

“Hiring and adjustments before things get worse again, when we really start to feel the effects of those tariffs, because so far, it’s mostly been talk,” said Roach.

“Calm before the storm is the way I see the June report.”

Roach did highlight the significance of Alberta’s unemployment being better than the national average.

“This is only the second or third time really, since the recession going back to 2016, that Alberta’s unemployment rate’s been a little bit better than the Canadian average,” said Roach.

“Even though Alberta has been creating jobs, so many people have been coming here that it’s been hard to keep up. So we’ve got a little bit of a break with slower population growth plus strong job numbers.”

Calgary’s labour market did add 5,500 new jobs in June, posting the largest month-over-month decline in unemployment among major Canadian cities, according to Statistics Canada.

“The strong participation rate and sector gains reflect resilience amid ongoing global trade uncertainties,” said Kate Koplovich, director of strategy at Calgary Economic Development.

“While this month’s performance is encouraging, we continue to monitor next month’s data to determine if this is a short-term gain or longer-term trend.”

Roach points to the uncertainty of tariffs and the difficulty of forecasting when a rate is locked down.

“What we are expecting is that we will get some drag from the actual tariffs once it’s settled. What will the tariff rate be? At the same time, once we know that, the uncertainty will come down, and that’ll be a positive,” said Roach.

Edmonton’s June jobless rate was 7.5 per cent, largely unchanged from 7.3 per cent the month prior.

Calgary’s unemployment rate in June was 7.4 per cent, down slightly from 7.8 per cent in May.

In Red Deer, unemployment plummeted to 5.5 per cent from 6.2 per cent.

In Lethbridge, the jobless rate was unchanged at 5.2 per cent.

The June Labour Force Survey examined the week of June 15 to 21, 2025.

Youth unemployment in the province dipped from 17.2 to 16.4 per cent.

Yussef Bakko, working at Dubai Chocolate during the Stampede, knows the struggle.

“I’m very grateful for it. I find Stampede just a great place for jobs and just opportunities,” said Bakko.

The 15-year-old says there is a misconception around young workers.

“Right now, it’s Stampede season, so I think it’s really easy out here. But otherwise, for young people, people don’t think young people have a lot of potential,” said Bakko.

Nationally, the youth unemployment rate stayed steady at 14.2 per cent.