07:44 AM EDT, 05/08/2026 (MT Newswires) -- Canada will release the Labour Force Survey (LFS) for April at 8:30 a.m. ET on Friday, said Bank of Montreal (BMO).

The bank notes that the labor market remains "soft" and the April LFS is unlikely to provide respite as BMO expects employment to remain steady in the month.

This report will be the first to capture some weakness from the end of March, including previously-announced layoffs -- such as at an Algoma Steel plant in Ontario -- and the kick-off of the federal government's early retirement plan, pointed out BMO.

The latter is expected to add downside risk to public administration jobs through the summer, partially offset by temporary Census hiring, as Ottawa tries to reduce spending following a decade-long hiring spree.

The bank's call should keep the jobless rate steady at 6.7% for the third straight month, given weak employment against a backdrop of a stagnant labor force.

Ultimately, the hiring environment is unlikely to improve "meaningfully," especially in tariff-hit sectors, until a deal is reached in the CUSMA trade deal negotiations, added BMO.