Canada’s young people are entering a labour market defined by uncertainty, rapid technological change, and growing inequality. Many are struggling to find meaningful early-career opportunities that match their education, skills, and ambitions.
This latest ICTC report explores the state of youth employment in Canada, the long-term risks of labour-market scarring, and how work-integrated learning (WIL) can help young Canadians build stronger, more resilient careers in the future economy.
Note: This report draws on youth unemployment data from June 2025, at a rate of 14.2%. As of October 2025, the youth unemployment rate has decreased to 14.1% (Statistics Canada, Labour Force Survey).
Key findings:
- Labour market scarring presents long-term challenges: Graduating during a downturn can depress early-career wages and delay recovery for years.
- WIL improves outcomes: Work-integrated learning opportunities such as co-ops, internships, and apprenticeships help bridge education and experience, strengthening employability.
- Strong results from ICTC WIL alumni: More than 70% secured full-time roles after graduation, with nearly one-third hired by their WIL employer.
- Scaling requires collaboration: Governments, post-secondary institutions, employers, and civil-society organizations all have roles in scaling high-quality WIL programs across Canada.
- Contributing to greater long-term outcomes for the national workforce: WIL programs offer a practical, evidence-based way to lessen scarring effects and enhance Canada’s long-term economic resilience.
Report
Youth Unemployment in Canada: The Role of Work-Integrated Learning in Building Resilient Careers
To cite this report:
Erik Henningsmoen and Faun Rice. Youth Unemployment in Canada: The Role of Work-Integrated Learning in Building Resilient Careers. Information and Communications Technology Council (ICTC), October 2025. Ottawa, Canada. Author order is alphabetized.
This project is funded in part by the Government of Canada’s Student Work Placement Program.