The latest quarterly data from the Small Business Index shows small business employment in Canada declined by 182,100 jobs (-3.47%) in the third quarter of 2025. At the end of Q3-2025, small businesses employed 5,153,300 people. The data is seasonally-adjusted.

Sector with the largest decline: health care and social assistance

Small business employment declined in eight of the 13 sectors currently tracked by the Index. The health care and social assistance sector (NAICS 62) had the largest decrease (-54,300 jobs) in small business employment in Q3-2025. The fastest rate of decline, however, was in the education sector (NAICS 61), at -24.72%. On the other end, the finance and real estate sector (NAICS 52-53) had both the largest increase (adding 12,500 jobs) and fastest growth (3.56%). See the table below for details.

Region with the largest decline: Ontario

Small business employment declined in all five regions of Canada currently included in the Small Business Index. Ontario had the largest decrease (-76,500 jobs) while Quebec had the fastest decline (-6.89%) in small business employment in Q3-2025 (data for the Territories region is not currently available). See the table below for details.

Methodology: For more information about the sample, data sources, and calculations used in the Small Business Index, read the full methodology here.