Sarnia-Lambton Conservative MP Marilyn Gladu says the liberal governments in Toronto and Ottawa are making it difficult for Ontario businesses to remain competitive.
Statistics Canada says Ontario suffered the biggest job losses of any province in July, as the national unemployment rate rose a notch to 6.9%.
Gladu says it's totally trending in the wrong direction.
"There's been no tax relief for the business tax rate, they've increased the burden by putting additional CPP premiums on businesses," says Gladu. "Then the two levels of carbon tax, the cap and trade and the uncertainty about how that's going to be calculated and at the federal level, talking about a second level of carbon tax, that's a huge competitive issue, there's no such tax in the U.S."
Statistics Canada reports that the loss of 71,400 full-time jobs last month was partly offset by 40,200 new part-time jobs.
It's the biggest one-month loss since October of 2011.
Ontario's labour market led the way, decreasing by 36,100 net positions.
-With files from the Canadian Press