Canadian tourism employment saw positive gains in July, growing by 5.5%, according to a new snapshot report by Tourism HR Canada. The beleaguered tourism sector added 106,300 jobs, for a total of 2,034,400 workers, according to the report, marking the first time the first time since February 2020 that employment has topped 2 million, which it had consistently done pre-pandemic, throughout 2018 and 2019.

The report stated that the sector’s total labour force grew to 2,108,900 (a nearly identical increase of 106,300 or 5.3%). And the tourism unemployment rate for July (3.5%) improved slightly over the previous month (3.7%) with employment increasing across for all tourism industries compared to the previous month:

• Employment increased by 11.6% for recreation and entertainment, to 606,500 workers

• Employment level in travel services and food and beverage services increased by 5.0% and 4.1%, respectively, and

• Employment in accommodations (1.1%) and Transportation (1.2%) grew slightly but remained relatively flat.

Additional positive signs for the tourism labour market can be seen when comparing July 2022 employment indicators to the same month in the previous year as well, says the report:

• When compared to July 2021, there were significant improvements in employment levels and the unemployment rate across all tourism industry groups.

• Employment in the transportation and recreation and entertainment industry groups grew by 27.7% and 25.2%, respectively.

However, looking at the same month pre-pandemic, this month’s overall tourism labour force (2,108,900) accounted for 223,800 fewer workers (or -9.6% growth) than it did in July 2019 (2,332,700). And, when compared to July 2019, tourism employment continues to lag, with overall employment data this month revealing a decline of -181,500 workers (or -8.2%) from the pre-pandemic baseline.

At the same time, job vacancies in the spring of 2022 remained elevated for the accommodation and food services industry and the arts, entertainment, and recreation industry, with May 2022 job vacancies reaching 161,115 and 18,845, respectively.

In sum, says the report, the July Labour Force Survey (LFS) data reveals “an eagerly anticipated positive uptick in tourism sector labour force and employment levels,” though “with many signs of increased consumer demand for tourism products and services, job vacancies remain a significant challenge for the sector, which should anticipate the need for more workers during the summer high season.”