Young People

Canada's youth unemployment crisis

Failure to Launch

The Economic and Social Costs of Youth Unemployment in Canada and the Long-Term Impacts

The King’s Trust Canada commissioned a landmark report from Deloitte that reveals the alarming state of youth unemployment in Canada.

Youth unemployment is the highest it has been in over a decade and inaction on the matter will have devastating social and economic consequences for Canadians.

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The Costs of Youth Unemployment

18.5 Billion in lost GDP by 2034

228,000 jobs

$5.3 billion in government revenue

Decreased productivity

Decreased mental health

Higher rates of crime

Higher rates of substance abuse

Growing social unrest

The situation

  • Youth unemployment reached 14.5% in August, the highest it has been in a decade
  • A staggering 850,000 young people are not working, in training or in school
  • The number of involuntarily employed young people has tripled over the last thirty years
  • Youth facing barriers are disproportionately impacted

The consequences

  • 18.5 Billion in lost GDP
  • Worsening mental health
  • Higher crime rates
  • Social unrest
  • An unskilled and inexperienced workforce left to power our economy and support an ageing population

Policy Recommendations

Meaningful action government can take towards solving Canada’s youth unemployment crisis.

01

Modernize Employment Policies

Modernize employment policies for the 21st-Century Workforce, which includes the gig economy and displacement from AI.

02

Incentivize Youth Hiring

Incentivize youth hiring through enhancement of targeted tax rebates which encourage hiring young people, and especially those facing barriers to employment.

03

Implement a Youth Lens

Implement a youth lens across all government policies, much like the GBA+ lens

04

Invest in Community Partners

Invest in community partners and in youth skills development and employment programs that are helping to close the gap

05

Prioritize Data Collection on Youth Underemployment

Prioritize data collection on youth unemployment, so that it accounts for different experiences of groups who face barriers.

What You Can Do

Share the report

Want to raise awareness about Canada’s youth unemployment crisis? Share the report with your social network?

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Read the report

Want to take a deep dive on the social and economic consequences of Canada’s youth unemployment crisis?

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Read the Policy Brief

Want a shorter read that includes key findings as well as policy recommendations?

Read Policy Brief

Make a Donation

Want to make a financial contribution towards helping young people?

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