In January, Canada's labour market presented a layered picture: employment decreased by 25,000 positions, yet the unemployment rate fell to 6.5% - the lowest level observed since September 2024. The decline in joblessness stemmed primarily from fewer Canadians actively seeking work rather than job creation. Core-aged women experienced the most significant employment loss, shedding 27,000 positions. Manufacturing and educational services bore the brunt of sector-specific cuts, while agriculture and information sectors posted modest gains. Ontario saw the steepest provincial employment decline, with 67,000 jobs lost, while Alberta and Saskatchewan posted gains. Wage growth remained steady at 3.3% year-over-year, reaching $37.17 hourly.