Youth unemployment in Canada hits near-record highs outside recession, new report finds

The jobless rate for Canadians aged 15–24 jumped from 10% in 2022 to 13.8% in 2025, an 8.1-point gap relative to adult workers and nearly 4 points higher than in the U.S.

| May 01, 2026 | News | 1 Comment

Youth unemployment in Canada has surged to near-record levels in recent years, reaching highs rarely seen outside of an economic downturn, according to a new report from the Fraser Institute.

The study found that the unemployment rate for Canadians aged 15 to 24 climbed from 10 per cent in 2022 to 13.8 per cent in 2025 — the fastest three-year increase on record outside of a recession.

That puts youth unemployment far above the national average, with a growing gap between younger workers and the rest of the labour force. In 2025, the difference between youth unemployment (13.8 per cent) and adult unemployment (5.7 per cent) reached 8.1 percentage points — near historic highs.

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Data from Statistics Canada shows the trend has continued into 2026, with youth unemployment hovering around 13.8 per cent in March, after peaking as high as 14.6 per cent in late 2025.

The report also notes that Canada’s youth unemployment rate has consistently exceeded that of the United States for nearly a decade. In 2025, Canada’s rate was 3.8 percentage points higher than its southern neighbour.

Researchers point to a combination of factors behind the surge, including increased competition for entry-level jobs and rising labour costs. According to the study, higher minimum wages and a growing supply of low-skill labour have made it more difficult for young Canadians to find work.

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Sheila Gunn Reid

Chief Reporter

Sheila Gunn Reid is the Alberta Bureau Chief for Rebel News and host of the weekly The Gunn Show with Sheila Gunn Reid. She's a mother of three, conservative activist, and the author of best-selling books including Stop Notley.

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