Canadian automotive employment continues to weaken, according to DesRosiers Automotive Consultants. They released a report showing employment in the sector has been impacted amid an economy that shrunk in the second quarter and an ongoing trade conflict with no resolution in sight.
DAC said overall combined employment in the sector and directly related industries was down 1.1% from June 2024 to June 2025. It had 611,900 employees. Their latest and more detailed analysis shows a notable decrease for the motor vehicle parts and accessories manufacturing industry — down 6.2% compared to June 2024.
“Employment in this industry has actually fallen to just above June 2020 levels, in the dark days of the pandemic,” said DAC in its update. “Sharper still, the metalworking machinery manufacturing industry saw a 10.3% decline in June. The motor vehicle manufacturing industry has yet to fall quite that far, but did see a 1.7% decrease in employment for June 2025. Similarly, automotive parts and accessories store employment decreased 1.2%.”
Not all industry sub-sectors experienced decreases: both dealers and maintenance enjoyed growth with sales remaining up year-to-date, for the time being. However, Andrew King, Managing Partner at DAC, underlined the issue: the longer the trade dispute continues, the longer employment in the auto sector will be challenged.
“Manufacturing has taken a particularly heavy hit as expected with the automotive sector still waiting for a clear path forward in the trade conflict,” he said in a statement.
