Lauren Hood, a 21-year-old political studies graduate from Aurora, Ontario, has been facing significant challenges in the job market since graduating. Despite submitting 50 applications and attending two interviews over four months, she has yet to secure a job. Hood expressed her surprise at the difficulty of finding employment post-graduation, stating, “In my mind, after completing the four years and getting my degree, I didn’t think it would be as challenging as it’s proven to have been.” This sentiment echoes the experiences of many young graduates today.
Hood recalled one instance where she applied for a position that seemed to align perfectly with her qualifications. However, the company had to close its application portal early due to an overwhelming response, receiving over 450 resumes. Even positions she feels well-qualified for, such as restaurant server or retail roles, have been hard to come by. The barrage of rejections has left her feeling disheartened, leading to a sense of instability in her life. “I feel behind, even though I just graduated,” she lamented, highlighting the mental toll of the job search.
The situation is reflective of a broader disillusionment among young people today, many of whom feel that hard work does not guarantee the same quality of life their parents enjoyed. Youth unemployment in Canada reached 14.7% in September, marking a 15-year high outside the pandemic years, according to Statistics Canada. While employment levels for young workers showed slight improvement in October and November, they remained marginally above summer lows.
Career prospects for young people have been deteriorating for the past several years. A report from StatCan indicates that the percentage of workers aged 15 to 30 with full-time, permanent jobs has significantly declined from nearly 80% in 1989 to less than 60% in 2024. The current economic climate has also been influenced by U.S. tariffs and trade uncertainties, which have suppressed hiring demand, particularly affecting youth and other vulnerable populations in the labor market.
Economist Kari Norman noted that the abrupt rise in youth unemployment resembles conditions typically seen during Canadian recessions, rather than the mild economic downturn currently occurring. The influx of foreign workers and international students, intended to meet labor demands post-pandemic, has further intensified competition for early career positions, leaving younger Canadians at a disadvantage.
The rise of artificial intelligence in the workplace is another factor contributing to the challenging job landscape for young workers. Tasks that traditionally provided entry-level opportunities are increasingly performed by AI systems, creating a disconnect between starter roles and positions requiring experience.
Osobe Waberi, who lived in downtown Toronto, faced her own struggles with rising living costs. After her rent increased by $500 a month, she made the difficult decision to move to Oman for better job opportunities and to save for her future. Waberi expressed a strong attachment to Toronto but felt the need to escape the financial pressures of city living.
Data from Generation Squeeze indicates that younger Canadians face much longer timelines for achieving milestones such as home ownership compared to previous generations. In 1986, it took five years for individuals aged 25-34 to save for a 20% down payment on a home, whereas this figure ballooned to 17 years by 2021. Despite a slight improvement predicted for 2024, home prices still need to decrease significantly for the younger population to attain the same opportunities as older generations.
Lisa Taylor from the Challenge Factory highlighted the concept of “economic scarring,” suggesting that pandemic-related restrictions hampered young professionals' ability to network and gain valuable experience early in their careers. However, some experts argue that the current challenges may not indicate a lack of hope but rather a shift in life timelines. Many younger individuals are prolonging their education, entering the workforce later, and deferring major life decisions like marriage and home buying.
Norman observed the impact of the challenging job landscape first-hand through her own children, noting that many students are resorting to further education to compensate for missed job opportunities. This reliance on additional schooling often leads to increased student debt, placing a long-term financial burden on young graduates.
A few weeks after initially speaking to the press, Hood experienced a positive turn in her job search. While interviewing for a retail position at her local mall, she received an on-the-spot job offer. Although the role is seasonal, lacks benefits, and does not align with her long-term career goals, the prospect of receiving a paycheck brings significant relief to Hood.
Source: The Canadian Press
