Employment Patterns & Trends
Economic Challenges and Responses: Employment Patterns & Trends
Big Idea
- Different stakeholders can have different perspectives about which economic course of action is most appropriate.
Framing Questions
- What are the main employment/ unemployment patterns in Canada?
Overall Expectation
- Students will analyse patterns and trends related to employment and unemployment in Canada, their causes, and their impact on individuals and society (FOCUS ON: Cause and Effect; Stability and Variability)
Specific Expectation
- C3.1: Students will analyse economic data to identify employment/unemployment patterns and explain how these patterns affect individuals and society
Success Criteria
- I can provide statistics and analyze charts to explain employment/unemployment trends
- I can list & explain reasons for youth unemployment
- I can explain why high youth unemployment is a concern to different stakeholders
- I can analyze economic data to demonstrate regional disparities
- I can provide reasons for regional unemployment disparities
Youth Unemployment
- The unemployment rate for young workers has always been higher than the national average
- The latest data show the youth jobless rate at about 16 per cent, nearly double the national level
- The labor participation rate for youth is 63 per cent, compared with nearly 90 per cent for prime working age employees
- UE Charts
Troubling Statistics
- The lack of adequately paid employment is one reason more young adults live with their parents
- More than 40 per cent of adults between the ages of 20 and 29 lived with their parents in 2017 compared with 27 per cent three decades ago
- Some graduates are forced to work for no pay to gain experience
- According to the Canadian Intern Association, there are 300,000 unpaid interns across the country
- Up to 83,000 GTHA youth aged 15-24 are Not in Education, Employment or Training – a category called NEET. That’s about 10% of the youth in the region.
Who Cares?
- Youth are at a developmental stage when positive experiences, like a supportive first-job opportunity, can help them navigate their life transitions and challenges
- Within this group of youth facing barriers to employment are those who, with some support, are ready for work
Costs to Youth
- A deep sense of alienation and low self-esteem
- Little empathy for others
- A belief that they are oppressed held down or unfairly treated
- No sense of hope
Costs to Society
- Lost output
- Increased pressure on social supports (e.g. health and social assistance, etc.).
- One study, conducted by researchers from Columbia University and City University of New York, calculated the short- and long-term economic burden for youth in U.S. who aren’t in school or working. The cumulative lifetime burden to society was conservatively estimated to be $1 million per youth
Costs to Employers
- Narrows the local labor pool
- Companies can’t enjoy as diverse a workforce – an economic and competitive disadvantage
- The Canadian Council on Learning estimates the collective loss of tax revenue from high school dropouts at 115billion (over 35 years), and the lifetime private health care costs at 623billion
- So what are the roadblocks to opportunity for youth?
Roadblocks to Opportunity for Youth
1. Systemic Barriers
- Often, these young people lack connections to positive mentors or role models who could help them navigate the job market, expand their networks, get job-ready and develop life skills
2. A Lack of Meaningful Opportunities
- Many youth can’t gain the experience to get a job. Existing opportunities are often short-term, with few prospects and limited training or mentorship to build transferable skills
3. Lack of Accessible and Affordable Transportation
- Youth in marginalized neighborhoods are often unable to reach their workplaces in a timely or inexpensive manner. Certain parts of the region have no public transit service outside of peak hours, or at all.
4. Racism and Structural Discrimination
- Some employers perceive that certain segments of youth have negative attitudes, lack a work ethic, or lack motivation to do entry-level jobs
- Human resource systems can introduce bias, through recruitment and screening processes
- For Indigenous youth, 35% of those aged 15-19 and close to 20% of those aged 20-24 are unemployed
- For visible minorities, the unemployment numbers are nearly 33% of 15-19 year-olds and over 20% of 20-24 year-olds
- For newcomers, 31% of those 15-19 and 21% of those 20-24 are unemployed
Why Do Ontario Youth Fare so Poorly?
- National economic shift away from manufacturing towards resource extraction
- Ontario’s post-recession austerity measures
- Provincial EU Charts
Variations within Ontario
- A few of Ontario’s census metropolitan areas—namely Windsor, Oshawa, Brantford and London —have youth unemployment rates over 20%
- Toronto has become a ‘sink’ for internal migration from other parts of Canada. They may face similar barriers to foreign-born young workers and may increase the size of the youth cohort not in the labor force.
- A rise in unpaid internships and similar unpaid labor
Discussion Questions
- For all of the following questions, be thorough and use economic data to support your answer:
- What sectors benefited from the pandemic? What sectors were hardest hit?
- How have young workers, women and more specifically, women who are BIPOC, been disproportionately affected by the pandemic? Why do you think that is?
- Use data to suggest how the typical workweek/schedule has been changed as result of the pandemic. Is this due to a tight labor market or is this permanent?
- Read: https://www.dailymail.co.uk/sciencetech/article-9973617/Microsoft-study-says-working- home-stifles-creativity-teamwork.html Do you think big tech companies like Microsoft, Tesla, Google, etc. forcing workers to come back into the office is necessary? Will it influence other companies to do the same? Or is remote/hybrid work here to stay? Why/why not?
- Has the economy bounced back from the onset of the pandemic? Why do you think that is?