The crash in oil prices is have detrimental effects on Canada’s unemployment rate.
The country’s unemployment rate rose to a three-year high of 7.3% in February, marking the third consecutive month that Canada’s jobless rate increased.
The job cuts in the industry began late in 2014 shortly after oil prices topped out above $100 a barrel.
The country, which relies on exports to grow its economy, fell into recession last year amid the oil downturn.
Canada continues to pump a lot of oil, but the country’s oil sands industry needs higher prices to turn a profit.
Much of the unemployment increase is occurring in oil heavy provinces. In Alberta the unemployment rate rose to 7.9% in February, up from 7.4% in January. The province has lost 56,000 full-time jobs over the past year.
In comparison, the US unemployment rate is 4.9%, it’s lowest in eight years. The US added 242,000 jobs in February.
Based on the US unemployment model, Canada’s unemployment sites at 6.2% as of February.
Canadian prime minister Justin Trudeau has proposed a $1 billion stimulus plan that would focus on infrastructure projects in Alberta and oil-heavy Saskatchewan.
Officials in the country are also attempting to promote a manufacturing-led economy that would help diversify the country in the event of price swings in oil.