Why does the service sector employ more Canadians than agriculture and mining?

The service sector employs the vast majority of Canadians because Canada’s economy shifted significantly throughout the 20th century. While the country’s early growth relied heavily on the exploitation and export of natural resources, the economy evolved to prioritize service industries, including finance, trade, and transportation.21

By the end of the 20th century, agriculture and mining combined accounted for less than 5 percent of the labour force, while the service sector grew to employ nearly three-fourths of all workers. This expansion was driven by several factors:1

• Economic Diversification: As manufacturing and services became more central to the economy, the nation moved away from its historical dependence on primary resource extraction.1
• Growth in Specialized Services: Rapid development in areas such as tourism and business services—particularly in computer applications—has created significant employment opportunities.2
• Technological Advancement: High levels of telecommunications infrastructure and widespread computer use have fostered a robust high-technology sector, further fueling service-based job growth.3