February 9, 2026
SUMMARY
Construction employment in Ontario declined in January, with fewer people working in the sector and a higher unemployment rate. Labour force losses were concentrated among younger workers, while core working-age employment increased. Women’s share of the workforce remained stable, with improved unemployment outcomes. Union coverage continues to be strong and stable, remaining above the national average.
CONSTRUCTION UNEMPLOYMENT INCREASES IN JANUARY
Ontario’s construction sector saw a decline in employment at the start of 2026. The number of people employed fell by 8,700 in January, raising the unemployment rate to 7.1 per cent from 5.7 per cent in December. This was the weakest employment level in the sector since 2022.
By comparison, the unemployment rate across all industries in Ontario stood at 7.3 per cent in January.
The total construction labour force also continued to shrink, down by 25,800 people compared to January 2025.
LABOUR FORCE SHIFTS BY AGE
Unemployment remained highest among younger workers aged 15 to 24, at 10.6 per cent in January. Workers aged 55 and over continued to record the lowest unemployment rate (6.1%) in the sector.
The total construction labour force declined by 7,200 people during the month. This drop was driven by a loss of 10,100 people in the 15 to 24 age group. The 25 to 54 age group was the only cohort to grow, increasing by 4,700 people in January and standing 17,400 higher than a year earlier.
GENDER BREAKDOWN
Women accounted for 13.1 per cent of Ontario’s construction workforce in January, broadly unchanged from last year. The unemployment rate among women fell to 6.9 per cent, down from 9.1 per cent in December. The unemployment rate for men remained steady at 7.1 per cent.
UNION COVERAGE IN CONSTRUCTION
Union coverage in Ontario’s construction sector stood at 32.3 per cent in January 2026, compared to 29.8 per cent nationally. Ontario continues to have the second highest union coverage in Canada after Quebec. Unionization levels in the province’s construction sector have remained largely stable over the past several years.
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FOR MORE INFORMATION, CONTACT:
Gargi Bharti
Economic and Research Project Lead
Ontario Construction Secretariat (OCS)
180 Attwell Drive, Suite 360, Toronto, ON M9W 6A9
P 416.620.5210
gbharti@iciconstruction.com
