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Alberta’s Youth Employment Crisis: Gen Z Faces a Harsh Reality in a Changing Labour Market

Alberta in Transition

Alberta, long seen as one of Canada’s most economically dynamic provinces, has traditionally offered robust employment opportunities—particularly due to its strong resource sector and entrepreneurial climate. However, a growing number of young job seekers are now encountering a very different reality. As population growth outpaces job creation, and traditional entry-level roles decline, Alberta’s youth, particularly those aged 15 to 24, are finding it increasingly difficult to enter the labour market.


A Generational Divide

According to a recent Financial Post report, Alberta currently holds the highest youth unemployment rate in the country, with over 17% of young people aged 15–24 unable to secure work as of May 2025. This stands in stark contrast to the provincial average of approximately 7%. For students and recent graduates, the rate remains equally troubling, hovering around 15%.

This disparity reflects deeper structural challenges. Traditional entry-level roles in retail and hospitality, once mainstays for young workers have declined sharply, with retail employment alone falling nearly 9% year-over-year. At the same time, employer expectations have shifted: even junior positions often require multiple years of experience, creating a catch‑22 for youth entering the workforce for the first time.


Population Growth, But Not Job Growth

Alberta’s surging population, fueled by internal migration and international newcomers has further intensified the problem. While the province welcomed over 500,000 new residents since 2021, job creation has not kept pace, particularly for lower-skilled or part-time roles that young workers typically pursue. As a result, competition is fierce, and frustration among Gen Z job seekers is mounting.

Many youth report sending hundreds of applications without response, eroding their confidence and delaying both career progression and financial independence. Economists warn that this early-career instability could have lasting consequences on wages, employment stability, and mental well-being for this generation.


Government Response and Provincial Strategy

In response to growing concern, the Alberta government has introduced several targeted initiatives aimed at improving youth employment outcomes. Among these is the “Alberta at Work” program, which is a $700 million workforce strategy focused on skills training, apprenticeships, and job placement support. The province is also expanding its rural apprenticeship initiatives, aiming to link youth with in-demand trades opportunities outside major urban centres.

While these efforts represent meaningful progress, experts caution that more coordinated action is needed. Without greater integration between the education system, employers, and training providers, many young Albertans risk falling through the cracks.


CCCH Implications: Opportunity Through Collaboration

For the Canadian Chamber of Commerce in Hungary and its members, Alberta’s youth employment crisis carries both risks and potential. On the one hand, it underscores the need for employer-led solutions and more inclusive hiring practices, especially for businesses seeking to expand their presence in Western Canada.

On the other hand, the situation presents an opportunity for Hungarian stakeholders. Alberta’s pivot toward skilled trades and vocational training could open the door for international collaboration in program development, mentorship, or cross-border apprenticeship exchanges. Hungarian institutions with strong expertise in dual-education models may find fertile ground for engagement.


Conclusion

Alberta’s shifting labour market is redefining what it means to start a career in Canada’s energy heartland. For Gen Z, entering the workforce has become increasingly complex and uncertain. Addressing these challenges will require joint effort from policymakers, educators, and employers alike. For transatlantic stakeholders, including those in Hungary, the evolving situation in Alberta highlights the importance of agility, collaboration, and long-term strategic thinking. As the province adapts, so too must those looking to build sustainable partnerships within it.


For the latest updates and insights on Canadian-Hungarian economic relations and merely Canadian economic news, follow the Canadian Chamber of Commerce in Hungary accross our platforms.

Written for the Canadian Chamber of Commerce in Hungary News Section as part of our ongoing coverage of developments affecting Canadian trade, economy and international partnerships, July 2025

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