Alberta’s government will provide $8 million in grants to employers who hire workers aged 15 to 24, according to a government announcement. The Alberta Youth Employment Incentive aims to support about 1,000 businesses in hiring 2,500 young Albertans starting in October 2025.
The province says the program addresses youth unemployment, which reached 17 per cent in Alberta as of August 2025, compared to the national rate of 14.5 per cent. Alberta attributes its higher rate to rapid population growth from international immigration and interprovincial migration, according to the government.
“Young Albertans deserve to be first in line for the kinds of jobs that open doors and build confidence,” said Premier Danielle Smith. “The Alberta Youth Employment Incentive gives employers a reason to take a chance on youth and help them gain the experience that leads to lifelong careers.”
How the incentive works
Employers can receive one of two grant amounts based on their hiring volume, according to the program details. Companies that hire one to two young workers for a combined minimum of 400 hours will receive $4,000. Those hiring three to five youth workers for at least 750 combined hours will receive $7,500.
The government says it will effectively pay $10 per hour toward young workers’ wages through this program. Jobs, Economy, Trade and Immigration Minister Joseph Schow said the initiative will “support fresh, young talent entering the province’s business and professional marketplace.”
Program administration
CAREERS, a not-for-profit organization established in 1997, will manage the incentive program. The organization will handle grant distribution, determine employer eligibility, and provide program information through its website once applications open.
“This new incentive is a game-changer – it makes it easier for businesses to hire young people, helps reduce unemployment and builds the skilled workforce Alberta needs for the future,” said Stefan Rutkowski, CAREERS president and CEO.
Skills verification component
The government plans to create a digital badge system for young workers who complete at least 200 hours of work and pass an employer skills assessment. According to the announcement, youth can display these badges on resumes to demonstrate workplace experience to future employers.
Labour market context
Government data shows temporary foreign workers in Alberta increased by nearly 278 per cent between 2020 and 2024, reaching more than 145,000 workers as of December 31, 2024. New Brunswick and Ontario follow Alberta with youth unemployment rates of 16.9 per cent and 16.5 per cent respectively, according to the government figures.
The University of Alberta Students’ Union expressed support for the program. “With this new hiring incentive, we are excited that more young Albertans, including many of our students, will start gaining the experience they need for a successful future,” said union president Pedro Almeida.
