Skip to content

Ottawa Acts to Boost Employment for Youth during Difficult Summer Job Scenario

GovernMENT INTERVENES TO EFFORTS TO BOOST STUDENTS' SUMMER JOB MARKET - WHILE AN ECONOMIST QUESTIONS THE JOB MARKET OUTLOOK FOR YOUNG PEOPLE

Federal Administration Proposes Measures to Strengthen Summer Job Market for Students; Economist...
Federal Administration Proposes Measures to Strengthen Summer Job Market for Students; Economist Disputes Optimistic Outlook for Youth Employment

A Tough Summer for Student Job Seekers in 2025 Canada

Ottawa Acts to Boost Employment for Youth during Difficult Summer Job Scenario

Summer job prospects for students in Canada are poised for a rough ride in 2025. One economist voices concerns that this might not just be a student issue, hinting at broader troubles in the employment market.

According to Statistics Canada, an unsettling 20% of young people aged 15 to 24 headed back to school this fall found themselves unemployed in May. Last time the student unemployment rate climbed as high as this outside the pandemic was back in May 2009.

On the same day, the Canadian government announced the expansion of the Canada Summer Jobs program, which subsidizes employers offering seasonal work to young folks. The goal: add 6,000 more positions to the 70,000 already on the roster, using reallocated internal funds.

Workforce Development Minister Patty Hajdu stated the increased target is to "address the urgent needs youth are experiencing in the job market." However, Senior Economist Brendon Bernard from Indeed opines that the summer labor market is "pretty weak right now."

Bernard acknowledges that the struggle for summer jobs is intertwined with broader economic trends. He suggests that targeted youth policies might only alleviate one symptom of the problem. Instead, the solution requires addressing other aspects of the labor market to improve the overall situation.

Canada's broader unemployment rate has been trending upwards in recent years, hitting 7% in May. A trade war-induced disruption in the labor market could be denying young people precious work experience, according to Bernard. Sectors particularly affected are those that rely heavily on trade between Canada and the United States, such as manufacturing. Border towns relying on this trade bear the brunt of the impact, as opportunities in the manufacturing sector dwindle for young Canadians.

However, the national vacancy rate remains strong, standing at 3%. Such a low vacancy rate suggests reduced hiring demand among businesses, or that they're easily filling job openings. Employer demand for the Summer Jobs Program is relatively low this year, as indicated by data from Employment and Social Development Canada.

Despite governmental efforts to bolster the youth workforce, Bernard argues that young job-seekers' plight is intrinsically tied to the broader labor market's condition. Hajdu acknowledges the need for collaboration, stating that "programs like this open the door, but it's employers, community leaders and organizations who help young people walk through it."

  1. The tough summer for student job seekers in 2025 Canada raises concerns that extend beyond the students, hinting towards broader issues in the business sector.
  2. Statistics Canada reported an alarming 20% unemployment rate among young people aged 15 to 24 in May, a level last seen outside the pandemic in May 2009.
  3. In response to the high unemployment rates, the Canadian government expanded the Canada Summer Jobs program to add 6,000 more positions, using reallocated internal funds.
  4. Workforce Development Minister Patty Hajdu stated the expanded target is to "address the urgent needs youth are experiencing in the job market."
  5. Senior Economist Brendon Bernard from Indeed expressed that the summer labor market is "pretty weak right now," suggesting that targeted youth policies might only alleviate one symptom of the problem.
  6. Canada's broader unemployment rate has been trending upwards, hitting 7% in May, and Bernard fears a trade war-induced disruption could be denying young people valuable work experience.
  7. Sectors affected are those that rely heavily on trade between Canada and the United States, such as manufacturing, with border towns being significantly impacted.
  8. Despite governmental efforts, the national vacancy rate remains strong at 3%, suggesting that employers are either not hiring or easily filling job openings, as employer demand for the Summer Jobs Program is low this year.
  9. The general-news media has covered this issue, highlighting the need for collaboration between the government, businesses, community leaders, and organizations to support personal-growth and lifelong-learning for young job-seekers, in addition to the expansion of education-and-self-development programs like online-education, mindfulness, and policy-and-legislation courses.

Read also:

    Latest