Canada's employment dropped in the month of May.
Bank of Montreal senior economist Robert Kavcic said the wage growth suggests a strong labour market in Canada and an economy running near potential.
The rate of employment in the region dropped after four straight months of increases, but only by 0.1 percent to 68.6 percent.
The Bank of Canada laid the groundwork last week for more interest-rate hikes, bolstering expectations the central bank will move as early as its next meeting in July.
Paul Ferley, assistant chief economist at Royal Bank, said some of the growth in wages reflected minimum wage increases introduced this year in both Ontario and Quebec, but those increases do not explain all of the upward pressure.
The province was one of five that saw a small drop in unemployment, despite the national economy losing 7,500 jobs in May as a drop in full-time employment was only partially offset by an increase in part-time jobs.
Barrie's unemployment rate has been on a slight decline since March.
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Full-time employment dropped by 31k net positions, while 23.6k part-time positions were added.
Employment in construction fell for the second consecutive month, decreasing by 13,000 in May.
Goods-producing industries led the way lower, shedding 29k positions due to weakness in manufacturing and construction.
Provincially, employment increased in Prince Edward Island, while it decreased in British Columbia and Nova Scotia.
May had a weaker than expected labour market, according to the latest numbers released Friday from Statistics Canada.
On the contrary, the service-sector continued to add jobs, with notable gains in accommodation and food services, and professional services.