Weak Jobs Market for Young Canadians Hurting Middle Class Families

July 10, 2013

OTTAWA- The Conservative government must recognize that the persistent lack of opportunities for youth in the post-recession era is having far-reaching and long-lasting consequences for already struggling middle class families, said Liberal Finance critic Scott Brison today.

“The Harper Conservatives have shown time and time again that they are out of touch with middle class Canadians’ concerns like this one,” said Mr. Brison. “As more and more young adults finish school with limited job prospects, their parents have increasingly had to step in to support them, often setting aside retirement goals to do so. It’s time for this government to recognize the depth of the problem.”

Research from TD Canada Trust shows that 43% of parents have let their adult children live at home rent-free, and that over half of them have provided financial support to adult children not attending school.

“The cost of tuition is rising, the cost of fuel is rising, the cost of groceries and rent is rising; the only thing that doesn’t seem to be rising are middle class incomes and job prospects for young people,” said Mr. Brison. “Middle class Canadian families are coping by turning to debt financing in order to support their adult children, and this simply isn’t sustainable.”

Since 2008, middle class incomes have flat-lined while average household debt-to-income has grown by 15 percent.