In a notable shift for the Canadian labor market, average hourly wage growth for permanent employees decelerated to 3.7% in December 2025, down from November's 4.0% figure. The latest update was released on January 9, 2026, shedding light on potential economic trends heading into the new year.
This decline marks an easing in wage increases, raising questions about earning trends amid potential economic cooling. While the shift is marginal, it represents a critical indicator for policymakers and economic analysts who are tracking consumer behavior, inflation, and overall economic health.
The data may prompt evaluation of monetary policy and labor market strategies to ensure wage growth aligns with inflationary pressures and economic stability objectives. As 2026 unfolds, all eyes will be on how this trend impacts the broader Canadian economy and influences decision-making in both public and private sectors.
