UNCERTAIN LABOUR MARKET
U of A student Anaiah Talma says she is growing frustrated with her fruitless search for a summer job even as the province claims to be open for business.
Anaiah Talma, 17, has done the calculations.
To achieve a law degree, she's looking at a minimum seven years in university and an estimated tab of $110,000.
It's an intimidating figure to be sure, but the number that has her even more concerned at the moment is zero.
That represents the success she's had in the last three months finding a job that will help cut down her student loan burden.
Talma has been seeking waitressing positions mainly but she's also applied at retail shops, mall venues and big box stores. She's applied through email, internet sites and in person, to the point that she feels like half the city has her resume now.
Nothing has worked out, and she's not alone. Among her friends, only about 20 per cent have been hired.
“I really have no idea what's going on,” Talma told me. “It seems maybe employers want us to have more experience, but you can't get experience if you don't have a job.”
To say Talma's predicament is representative of a widespread issue this summer is something of an understatement. And it's certainly been raised through our Groundwork research.
Statistics Canada numbers from June showed an ugly jobless rate of 18.1 per cent for Albertans between the ages of 15 and 24 — the highest rate for youth in Canada.
The jump in the percentage was in part due to an influx of young people entering the job market.
You might think this would be matched by an influx of jobs, particularly as Alberta was the first province in Canada to lift COVID restrictions. And anecdotally at least, a number of employers do seem to be crying out for workers.
Yet the unemployment figures, and the experiences of young people like Talma, suggest a different story.
Exactly what's behind this strange disconnect is hard to pinpoint, but a number of factors seem to be contributing.
On the labour side, those I spoke with note a certain wariness or pickiness occurring when it comes to job choices.
Joe Mackay, owner of BGS Career Ventures, said lingering apprehension has some prospective workers adopting a “wait and see” attitude, especially among those who have previously been laid off.
“The idea of starting a job, there's some worry about, `Will things get shut down again?
Will I lose my EI benefits?'” said Mackay, whose company teaches job search skills.
Jamie Stewart, with YOUCAN Youth Services, manages a program of intensive job training for youth facing various barriers, including housing instability, addictions, anxiety, depression and other mental health issues that have risen during the pandemic.
“COVID has eaten up motivation,” he said. “So to come back and commit to full-time work again is difficult.”
He said his program has been largely successful in keeping its clients on track through job training and job placements. However, among a minority he has noticed some holding out for a more ideal job, or even avoiding positions in which they might have to take a bus to work.
As a possible undertow to all this, some wonder if federal income supports like CERB and enhanced EI may now be outliving their usefulness, obstructing desire for jobs in the $15-$20-an-hour range.
At the same time, pickiness works both ways.
Especially for businesses that had to shut down at least a few times, it's understandable there might be an aversion to taking on cost and risk. In practice, this may be playing out in caution toward ramping up services, less hiring, and awaiting more experienced applicants who require less training.
Draydon Buksa, 24, finally found a computing science position at a small firm earlier this year with the help of BGS, but that came after many months of failure. During that time, he couldn't help but notice former classmates from U of A who did co-op programs during school were far more successful at landing jobs after graduation. They had experience and connections, whereas Buksa was struck trying to sell himself online during a time when most face-to-face contact was discouraged.
Chris Neilson, 17, similarly believes the reliance on remote applying has hurt his efforts to find an entry-level job in food services or grocery stores. He's still looking.
“Managers don't get a chance to meet you and test out your personality.”
In Talma's case, another factor may be old-fashioned discrimination. She now takes off her hijab when she goes to interviews because “I feel people look at me differently.”
Logic would suggest that if COVID cases stay down, business and consumer confidence will continue to improve, more hiring will take place and the youth unemployment rate will start to shrink. But if the early part of the summer is any indication, the process may not go as smoothly or as quickly as hoped.
As to what could help the job market recover in the short term (beyond patience), ideas include additional wage subsidy programs, incentives for buying local, more work-experience programs, and greater mental health services.
Lower taxes and costs for employers are other options, or trying to get lenders to free up capital, though some believe businesses will just use these benefits to strengthen their damaged balance sheets rather than boost hiring.
Ideas abound, but consensus is hard to come by.
Beyond the short term, the other side of the pandemic holds additional economic concern for young workers from factors such as oil prices, climate change and government debt.
There isn't space in this column for a full discussion, but it's worth noting many I've spoken to expressed belief they may need to leave Edmonton at some point to fulfil career ambitions. Cuts to post-secondary schools, perceived slow progress on diversification, lack of investment in culture, and even a climate of hyper-partisanship were cited as contributors to such anxiety.
“There definitely seems to be a lot more opportunity elsewhere, which may make it tough to stay here,” Buksa said.
Yes, young people are doing their calculations. Now city and provincial governments need to do theirs.