The local impact of Youth unemployment/underemployment

Posted on: July 25th, 2013 by Smart on Crime

If youth in the labour market cannot find employment, they find it increasingly difficult to become established in the “adult” world.  They have done nothing wrong. They have done what they were told to do and were supposed to do yet cannot find that suitable connection to the workforce. This impacts their confidence and their ability to “fit in”. Many have chosen to give up and have simply walked away from the labour market making it even harder to find their “place” in the world. This results in frustration and anger and they feel neglected.

We also tend to forget that even very well educated young people are having a tough time finding suitable employment. Many have studied for degrees or diplomas in subjects which are not directly relevant to the type of work they would like to do or the types of jobs they are applying for. This leads to major under-employment which again impacts that ability to become established. It’s difficult to buy a car or rent an apartment when you have student loans to pay back and are only earning minimum wage.

In one case I am familiar with, a young man in his mid-late 20s was finally offered a job in another city at the level he had studied for however, being in debt, he was unable to move immediately. His parents had to support him for several weeks by paying for hotels or renting vehicles so he could get back and forward to his new job and until he could become established. Had he not been able to access that support, his career would have been placed back in the same old holding pattern as before.

This scenario is being played out in households across Ontario and many young people are simply unable to take that leap due to lack of resources or supports and this will impact the youth unemployment rates for the foreseeable future. We are currently seeing young people in their late 20s to mid 30s recognizing that only by going back to school will they get specific skills that will lead them to a career even though they already have a degree but are working in hospitality or service type jobs. That’s fine if you can afford it but many cannot.

On the positive side, both the federal and provincial governments are keenly aware that well educated, and under-employed, young people are struggling and a number of programs and initiatives are either in the works or currently under consideration to support them. Other recent new funding has also been announced which will provide more employment assistance to young people across the board.

In my day to day work I continue to encourage students, and perhaps more importantly their parents and teachers, to put more emphasis on ensuring that the education path they choose will actually match the opportunities available in the local labour market. It is my hope that emphasizing good planning now may help these young people avoid the under-employment trap in the future.


Author: Carol Simpson is the Executive Director of the Workforce Planning Board of Waterloo Wellington Dufferin. Carol has held that position for the past 12 years. In her role at the Board, Carol likes to think outside the box and look at new and innovative ways in which the community can work together to address workforce development challenges including youth employment. For more on the Workforce Planning Board and youth related activities visit www.workforceplanningboard.com

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