The unemployment rate in Newfoundland and Labrador is at its lowest level in years.
Statistics Canada says the economy nationwide added 40,000 jobs in May, driven by a gain in full-time employment as the labour market continued to tighten.
The increase comes as the unemployment rate fell to 5.1 per cent for the month, the lowest rate since at least 1976.
The overall gain in employment came as the number of full-time jobs climbed by 135,000, but part-time employment fell by 96,000.
In this province, the rate dropped to 10.0 per cent, down from 10.8 in April.
The jobs report follows a decision by the Bank of Canada last week to raise its key interest rate by half a percentage point to 1.5 per cent in an effort to help bring inflation back under control.
The annual pace of inflation rose to 6.8 per cent in April, the fastest year-over-year rise in 31 years.