Treasury
CFIB Notes Expectations Mismatch Fueling Canada's Youth Unemployment Challenges
A new report by the Canadian Federation of Independent Business (CFIB) finds fundamental disconnects at every stage of the hiring process, for example, how employers and youth search for each other, what they expect from a job, and which roles young people are willing to take.Nearly two-thirds, or 62%, of small businesses recruit through personal connections -- referrals from people they trust, noted CFIB. Meanwhile, three in four youth, or 73%, search primarily through online job boards and only around half tap into their personal networks.This mismatch means opportunities are circulating in places youth aren't actively looking, stated CFIB. Co-op and internship programs, which convert to permanent hires at a 73% rate, are used by a quarter of youth but only one in five small businesses, highlighting a missed opportunity for businesses to access job-ready youth.When hiring youth, small businesses rank soft skills, like positive attitude (91%), motivation (84%), and professionalism (76%) above credentials, experience, or education. These are exactly the qualities most visible in service, trades, and physical roles, yet those are precisely the jobs many young Canadians are ruling out, pointed out CFIB. Nearly half won't consider jobs requiring heavy physical effort or overnight shifts. Nearly two in five won't consider outdoor work.Small businesses are also operating in a sluggish economic environment, it added. Tight margins and ongoing uncertainty make it harder to bring on new, inexperienced workers. While most small firms pay above the provincial minimum wage, more than one-third of youth say they wouldn't consider a minimum wage job.CFIB's findings point to the often-overlooked costs of entry-level hiring, particularly the time and resources required for training.
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