Canadian employment dipped a bit in July, hitting young people and recent immigrants the hardest. Last month, Canada lost 2,800 jobs, and the unemployment rate stayed at 6.4%. Youth unemployment climbed to 14.2%, the highest since September 2012 (not counting the pandemic), and young recent immigrants faced an even higher rate of 22.8% up from a year ago. These young job seekers aren’t striking out due to layoffs, but rather because companies are hiring more slowly. Brendon Bernard, a senior economist at Indeed, told Peak Money that the labour market is stuck in “a traffic jam,” explaining that when people can’t land their first job, it not only stalls their careers but also blocks opportunities for younger workers behind them. The good news? July’s job numbers could lead to some rate cuts. When job growth slows down, it signals a weakening economy. Companies aren’t doing as well, so lowering interest rates to make borrowing cheaper could encourage spending and investment, which might create more job openings. Analysts are betting on two or three more cuts before the year ends.