Graduating, but not getting hired: P.E.I. grads face uncertain job market
When Ishani Sabitharashi walked across the convocation stage at UPEI to receive her degree in environmental studies in May, she was all smiles in her school regalia. She posed for photos, proudly holding the degree she had worked four years to earn.
But reality soon set in.
Sabitharashi has spent months, even before graduation, applying for full-time jobs both within and outside her field. So far, no luck.
To pay the bills, she's currently working part-time in sales at a jewelry store.
"That kind of makes you feel sad and disappointed, because… you're not getting what you want while you are stuck in another place [that] has nothing to do with your degree," Sabitharashi told CBC News.
Sabitharashi isn't alone. Kylah Hennessey, a career counsellor at UPEI, says she's heard from a number of final-year students and new graduates struggling to find full-time work, whether in their field or even in casual employment.
"Unemployment rate for youth is high right now," Hennessey said.
Recent data from Statistics Canada proves that. Apart from the pandemic, Canadian graduates between the ages of 15 and 24 are facing the highest unemployment rate this country has seen since the mid-1990s.
Hennessey says part of the issue is economic uncertainty, which leads to many employers not hiring as many people as before.
Canada's youngest workers are grappling with a perfect storm of economic conditions: an inflation crisis that came on the heels of a pandemic, and now, a country teetering closer to recession as the U.S. trade war wreaks uncertainty on the economy.
But there can be other reasons why students are struggling in the job market, Hennessey said, including a lack of opportunities in their fields of study.
Sabitharashi has been looking for jobs related to environmental health and safety on the Island. But she said most openings, even entry-level positions, require previous experience, which is something difficult for recent graduates to show.
She has expanded her search across the Maritimes but faces the same problem.
"When you graduate, you do have some sort of hope and expectations, like, 'Maybe after a few months, I'm gonna land into a job that is full-time, related to my field,'" she said. "That is not the reality anymore."
Hennessey said this is why part of her role involves helping students align their job market outlook with reality.
"It's about… managing those expectations and recognizing, you know, jobs out of graduation aren't jobs you're retiring from, and that there [are] still lots of opportunities there," Hennessey said.
She added that when helping students map out their career, she encourages them not to limit options to their field of study, but to view initial jobs as stepping stones to employment.
Hennessey said some students also lack key skills, especially the ability to tailor their resumes and cover letters to specific positions.
She often sees students who already have work experience, but find it difficult to recognize how their existing skills can transfer to other fields. That's why she spends a lot of time helping them identify and articulate those transferable ones.
"It's about just working with them one on one, and trying to pull out those experiences that they've had to make it more relevant to the work that they're applying for," she said. "Most people aren't aware that they should be spending more time tailoring their resume."
Another common weak point for students is networking, especially when it comes to connecting with potential employers.
"It is a struggle for those students who spent a lot of time in COVID and didn't have those same opportunities of networking, even with their peers, and building those relationships with their peers, with their teachers," Hennessey said.
Most people aren't aware that they should be spending more time tailoring their resume. — Kylah Hennessey, UPEI career counsellor
She recommends students look for everyday opportunities to practise communication.
"It might exist when you go to a teller in a grocery store and just asking them how they're doing, how's your day. Or with a peer in the classroom, turning to them and maybe asking them a question… engaging maybe with friends, parents."
After graduating, Sabitharashi applied for a work permit that allows international students to stay and work in Canada for up to three years.
She's still waiting to receive it, but remains optimistic.
"You cannot just sit here and complain, like, 'Oh, I'm not getting jobs.' I'm continuously trying. I'm applying for different jobs — not just only my field, but different fields," she said.
"And I would say, any student who graduated or [is] looking for a job right now, they should never give up. Just keep on trying."
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The Fed, meanwhile, reduced rates by 100 points from September to December last year but has held rates steady so far in 2025. As a result, the 10-year U.S. Treasury yield was 4.38% as markets closed on Friday, while Canada's was at 3.30%. Higher interest rates in the U.S. can make Treasuries appealing to Canadians and other foreign investors, Haworth said, provided they can effectively hedge the risk presented by a weakening U.S. dollar. At the end of January, Canada's private and public sector held a combined $351 billion worth of Treasury securities. That number surged to $426 billion at the end of March before falling to $368 billion in April, the most recent data available. As Federal Reserve economists explained last year, this type of data has long been used as a gauge of foreign demand for Treasuries, particularly among the top three holders: Japan, the U.K., and China. 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That makes sense, he added, because a slowdown in trade affects the flow of dollars first as greenbacks are used in fewer transactions. Changes in the allocation of Treasuries, often held as investments or bank reserves, happen much more slowly. 'There's probably still some fundamental pressure as we suss out where trade and tariffs end up,' he said. The Treasury data from April showed foreign private investors were net sellers of long-term U.S. debt. Government institutions like central banks and sovereign wealth funds were net buyers. More current data suggests the latter trend may have reversed in the months since, though. Holdings by these official entities in the custody of the New York Federal Reserve have declined by $48 billion since late March, prompting Bank of America credit strategists to suggest that 'cracks' in demand from these investors are now visible. Still, it doesn't seem foreigners are dumping U.S. debt just yet. Even angry Canadians. 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