Gen Z Faces Job Hunt Woes: 4 Strategies Forward
As the school year comes to a close, young Canadians entering the job market are facing one of the toughest hiring seasons in years. Despite their drive to build careers and connections , many Gen Z are entering a stagnant job market .
According to Statistics Canada , the unemployment rate for youth aged 15-24 is 12.2 per cent – over double that of the prime working-age population.
The outlook is bleaker for students planning to return to full-time studies in the fall. Unemployment for this group has reached just over 20 per cent, the highest level since 2009, when the global economy was reeling from the Great Recession .
Gen Zs without post-secondary credentials , people with disabilities and newcomers face steeper hurdles. They are competing in a labour market dominated by one of the world’s most highly educated generations .
Today’s youth are navigating a perfect storm of persistent inflation , global trade tensions , a saturated labour market and restructuring driven by automation and AI .
Unlike older workers, many young people lack the financial stability or support systems to pursue opportunities that require relocating.
Early work experiences have long served as crucial stepping stones for young people entering the workforce. They offer new workers exposure to the habits, norms and expectations of the professional world .
Roles in retail, hospitality and customer service often serve as a first taste of working life, helping young people build confidence, develop transferable skills and expand their professional networks. Without access to these opportunities, many young Canadians risk falling behind before their careers even begin.
The long-term implications are serious. According to a 2024 report from consulting firm Deloitte , Canada stands to lose $18.5 billion in GDP over the next decade if youth unemployment remains high.
More broadly, high unemployment among youth weakens social trust and undermines the foundations of social cohesion , long-term prosperity , democratic stability and leadership pipelines .
Underemployment also takes a personal toll, contributing to poorer mental and physical health and delaying major life milestones like financial independence , homeownership and family formation .
Many young job-seekers are understandably discouraged by today’s labour market. But as digital natives, Gen Z have advantages to bring to the table, including creativity, values-driven mindsets and fluency in technology.
The key is to stay open, proactive and creative by pursuing non-linear experiences that can serve as legitimate entry points into the workforce. Here are four actionable strategies for Gen Z starting their careers:
1. Think beyond traditional pathways.
Unconventional roles and programs can offer valuable experience. For example, university students at Global Affairs Canada’s federal work experience program recently helped support the G7 Summit , gaining confidence and transferable skills.
Side projects, such as building websites or freelancing, can also help people start their careers. These are increasingly recognized as valid ways to break into the job market.
2. Build core skills that matter.
The World Economic Forum’s Future of Jobs Report identifies analytical thinking, resilience, creativity, leadership and self-awareness as the most in-demand skills for the future. These can be developed through volunteer work, community leadership, mentorship or personal projects.
Programs like International Experience Canada also help foster independence, global awareness and important skills.
3. Invest in future-ready capabilities.
As workplaces adopt AI and automation, tech literacy is becoming increasingly valuable. Microcredentials can help build specialized skills, while apprenticeships and other experiential learning opportunities offer experiences that employers value.
4. Build meaningful connections.
Networks are also a key part of job success . Relationships with peers, mentors and community members can provide support, broaden perspectives and lead to unexpected opportunities. Participating in interest groups or volunteering can help young workers feel more connected and confident while developing skills that matter.
While these steps won’t solve the systemic challenges facing the labour market, they can help young Canadians gain traction in a system that is still catching up to the needs of their generation.
This will require the collaboration of government, employers, educational institutions and community service providers to innovatively reduce existing barriers. Importantly, these sectors are being asked to ” walk the talk ” when it comes to addressing youth unemployment.
Gen Z is entering the workforce during a time of profound economic and social change. But they also have unparalleled access to information, supportive communities and platforms to share ideas and make a meaningful impact.
By acting with intention, young Canadians can navigate this landscape with agency, laying the foundation not only for jobs but for careers that reflect their values and ambitions.
Leda Stawnychko receives funding from SSHRC.
Warren Boyd Ferguson does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.