Many workers in U.S.-reliant export sectors ready to quit: report

More permanent core‑aged workers in industries dependent on United States demand for Canadian exports are planning to leave their jobs within the next year, according to new Statistics Canada (StatCan) data that point to rising turnover risk across the labour market.

Additional questions in the Labour Force Survey in January found that 7.1 per cent of permanent employees aged 15 to 69 intended to leave their job in the next 12 months, up 1.0 percentage points from a year earlier. The increase coincided with a slight decline in the unemployment rate, from 6.7 per cent to 6.5 per cent over the same period.

Among core‑aged permanent employees, career development and pay concerns are more prominent. Statistics Canada reported that these workers were “most often motivated by career change or advancement (38.8 per cent) and concerns about low pay (17.1 per cent).”

The average cost of employee turnover has risen to $30,680 per employee, up from $29,234 a year ago, adding pressure on organisations already competing fiercely for talent in a tight labour market, according to a previous report.

Youth lead in quit plans

The StatCan report also flagged uneven impacts across industries, particularly those heavily reliant on U.S. demand for Canadian exports and thus more exposed to tariff‑related trade disruptions. “Certain Canadian industries face greater exposure to tariff-related trade disruptions, creating uneven levels of uncertainty among workers,” Statistics Canada said.

In January 2026, 5.4 per cent of permanent core‑aged employees in industries dependent on U.S. demand for Canadian exports planned to leave their jobs in the next 12 months, up 1.5 percentage points from January 2025. In other industries, the corresponding share also increased, but from 5.2 per cent to 5.9 per cent.

Historically, permanent employees in export‑dependent industries have been less likely to say they intend to leave their jobs. StatCan noted that “in prior years, the share of permanent employees who were planning to leave their job had been lower among employees working in industries dependent on US demand for Canadian exports.” These workers “are more likely to have full-time hours and above-average wages relative to other industries,” the agency said.

Despite that relative advantage, quit intentions are now rising faster in these sectors than elsewhere.

Many Canadians already job hunting

The data also reveal that many of those planning to leave are not just considering a move, but actively looking.

Among core‑aged permanent employees who said they intended to leave their jobs, two‑thirds of those in export‑dependent industries reported active job search behaviour in the previous four weeks. Statistics Canada found that “65.8 per cent of those in industries dependent on US demand for exports reported that they had actively engaged in activities to look for a new job in the previous four weeks, such as answering job ads or contacting employers.” The comparable figure in other industries was 48.6 per cent.

For HR departments, the high rate of active job search among would‑be leavers means there is a narrower window to intervene with retention measures before employees accept external offers.

Improving employee retention

Here’s how employers can improve employee retention, according to global staffing, training and consulting company Unique System Skills:

• Provide hybrid work
  • Structure hybrid schedules for productivity & culture
  • Use technology tools that enhance hybrid collaboration
• Focus on digital skills training programs
  • Identify skill gaps and training priorities
  • Create continuous learning pathways
• Implement recognition and reward systems that actually work
• Put focus on diversity, equity & inclusion (DEI)
• Prioritise workers’ mental health & wellness

According to the firm, top talent now has options. 

“Workers compare compensation, flexibility, culture, and growth opportunities before committing to a role.”

Canadian employers are offering flexible work options at rates up to 10 times lower than worker demand, highlighting a growing challenge for HR professionals amid return-to-office (RTO) mandates, according to a previous report.

Unique System Skills notes that companies competing for talent should focus on:

• Employer branding
• Pay transparency
• Career mobility programs
• Modern benefits packages
• Flexible work arrangements

Here are the key factors for employee retention and satisfaction that employers should focus on, according to an expert.