Youth Unemployment Statistics in Canada

Changes in Unemployment Rates Among Young People in Canada

The overall unemployment rate among Canadian youth was 13.3% in 2025. While this is lower than the peak during the COVID-19 pandemic in 2020, when youth unemployment reached 20.11%, it remains above the pre-pandemic rate of 10.99%.

Historically, youth unemployment in Canada has fluctuated. In the 1980s, rates were significantly higher than today, almost as high as during the pandemic, with 19.2% of young people unemployed in 1983. While the pandemic caused a sharp increase, the situation has been gradually improving since. However, the 2025 unemployment rate shows that young Canadians still face challenges on the labour market.

Young People in Canada Are More Likely to Be Unemployed

Young people in Canada are twice as likely to face unemployment compared to the overall working population in Canada. The overall unemployment rate in Canada was 6.8% in December 2025.

People from the 25 to 54 age group were the least likely to be unemployed at 5.6%. The trend is the same across Canada. For example, in Quebec where only 4.8% of the core working age group was unemployed in December 2025, 8.9% of young workers were not in employment during the same month. The difference between the groups is even more striking in Newfoundland, where 8.4% of the core group are unemployed compared to 16.3% of the province’s young people.

Youth Unemployment Rates Across Provinces

There is a lot of variation in the youth unemployment rates across Canada. While there are no details for youth unemployment rates available for the territories, the lowest rates among provinces are in New Brunswick and Quebec. The highest rates of youth unemployment are found in Ontario, followed by Newfoundland and Labrador and Alberta.

Gender Differences in Youth Unemployment Rates

Women are more likely to be employed than men among young Canadians. In December 2025, 15.9% of young men available for work were unemployed compared to 12.3% of women.

In the majority of provinces, young men are more likely to be unemployed than young women. In December 2025, the only province where young women were more likely to unemployed than young men was British Columbia. The unemployment rate was 1.9% higher among young women. 

Youth Unemployment Rates in Canada Compared to Other Countries

Comparing the youth unemployment rate in Canada to other countries can be useful in assessing how well Canada is doing with employing its younger workers.

Youth Unemployment in the OECD Countries

According to the OECD, the latest youth unemployment rate across the OECD countries is 11.2% for young people aged 15–24 in July 2025, compared to about 13.3% in Canada in 2025. This percentage puts Canada’s youth unemployment rate higher than the OECD average.

Youth unemployment among young people in OECD countries is worst in Spain (25–26%), Greece (18–19%), France (~19%), Finland (~20%), and Italy (~21%) based on the most recent OECD youth unemployment figures. Japan remains among the lowest with around 4% youth unemployment, followed by South Korea (5–7%) and Germany (~6%).

Youth Unemployment Rates Across the World

We can also compare Canada’s youth unemployment rate to the rest of the world. The lowest youth unemployment rate is in Qatar at 0.4%. It is followed by Japan, Germany, Israel, and Singapore. Youth unemployment is the worst in Haiti at 36.8 %. Other countries with very high youth unemployment rates include French Polynesia, Greece, Spain, and Uruguay.

Why is Youth Employment Important?

Preventing high unemployment rates among young people is important both for the young individuals themselves as well as for the country and its economy. High employment among young people supports Canada’s economic growth and productivity and their tax revenue contributions support government budgets.

Youth employment is crucial in reducing income inequality between age groups. High rates of unemployment among young people mean the income gap between them and older age groups is growing. It will also make it more challenging for young people to gain financial independence and support themselves. Higher youth unemployment rates have also been linked to higher crime rates.

Gaining employment at a young age can support the individual’s skills development and long-term career prospects. It allows young people to build professional networks and gain the experience required for career progression. Employment promotes social inclusion and can boost self-esteem and a sense of purpose.

A high rate of youth employment will also support Canada’s global competitiveness. Investing in young people will ensure that Canada has a future workforce that is skilled and experienced with innovative ideas.

Conclusion

Canada’s young people were highly affected by the COVID-19 pandemic with unemployment among them rocketing to over 20% in 2020. By 2022, the rate had fallen significantly and was for a while lower than before the pandemic. However, challenges in the economy have increased the youth unemployment rate again and it is now over 14%.

It is crucial that Canada tackles the rising rate of youth unemployment as high rates of unemployment can lead to widening income gap between age groups and higher crime rates and can affect the young individuals’ long-term career prospects.