Evaluation of the Youth Employment and Skills Program

Abbreviations

AAFC

Agriculture and Agri-Food Canada

ESDC

Employment and Social Development Canada

OAE

Office of Audit and Evaluation

PIP

Performance Information Profile

YESP

Youth Employment and Skills Program

Executive summary

Purpose

The Office of Audit and Evaluation of Agriculture and Agri-food Canada (AAFC) conducted an evaluation of the Youth Employment and Skills Program (YESP) to assess its relevance, effectiveness and efficiency.

Scope and methodology

This first evaluation of YESP assessed the program between 2019-20 and 2023-24 using multiple lines of evidence including a review of program documents, project files and literature, key informant interviews and analyses of administrative and financial data.

Background

AAFC’s YESP provides employment and skills development opportunities in the agricultural sector for youth aged 15 to 30. AAFC is one of 12 partners delivering funding under the federal Youth Employment and Skills Strategy. Over the 5-year evaluation period, the program provided $48.0 million in non-repayable contributions to employers who hired youth interns.

Findings

• YESP supports AAFC’s core responsibility for domestic and international agricultural markets by contributing to addressing 2 issues the sector is facing: labour shortages and an aging workforce.
• YESP exceeded its output targets for youth employment under the program, including the employment of youth facing barriers. The program met its immediate outcomes as participation in the program improved the job readiness of youth who gained new employment and life skills through their internships.
• YESP made progress toward its expected intermediate outcomes as about a third of participating youth were employed following their internships and another third returned to school.
• Despite significant year-to-year variations in funding, YESP met its service standards by progressively automating its application and claims processes.
• The Program collected comprehensive data to support performance measurement and reporting under the federal Strategy. AAFC’s YESP lacks a department-specific performance measurement strategy that clearly maps outcomes, indicators and data being collected.

Conclusions

YESP is relevant as it aligns with AAFC core responsibilities and contributes to departmental and government-wide job creation priorities. The program largely achieved its expected outcomes providing interns with valuable on-the-job experience and contributing to further employment. The program was delivered efficiently despite unpredictable funding as the majority of YESP resources flowed from annual top-up funding in federal budgets. Creating a department-specific performance information profile would better support performance measurement and reporting.

Recommendation

Recommendation 1: The Assistant Deputy Minister Programs Branch, in consultation with Corporate Management Branch should create a program-level performance information profile for YESP that aligns with the overall horizontal performance measurement strategy for the Youth Employment and Skills Strategy and includes department-specific results and targets.

Management response and action plan

Management agrees with the evaluation recommendation and has developed an action plan to address them by March 31, 2025. For further details see Annex C.

1.0 Introduction

The Office of Audit and Evaluation of AAFC undertook this evaluation of the YESP as part of the 2023-24 mid-year update to its 5-year evaluation plan as a requirement under the Financial Administration Act. The results of this evaluation were designed to feed into an overall evaluation of the Youth Employment and Skills Strategy conducted by Employment and Social Development Canada (ESDC) and to inform ongoing program improvement.

2.0 Scope and methodology

This was the first evaluation of AAFC’s YESP, and it assessed the relevance, effectiveness and efficiency of the program between 2019-20 and 2023-2024. The evaluation used multiple lines of evidence including a review of program documents, project files and literature, key informant interviews and analyses of administrative and financial data. For more detailed evaluation methodology, see Annex A.

3.0 Program profile

3.1 Overview of AAFC’s Youth Employment and Skills Program

AAFC is one of 12 partners delivering funding under the federal Youth Employment and Skills Strategy, led by ESDC. AAFC’s YESP provides financial assistance to employers who offer employment and skills development opportunities in the agricultural sector to youth interns aged 15 to 30.

Under the program, employers are eligible for up to $14,000 in matching funding for youth intern wages. The Program extends additional support to youth facing employment barriers, including those who are Indigenous, have a disability, are racialized, newcomers to Canada, 2SLGBTQI+,^{Footnote 1} individuals residing in official language minority communities, individuals from low-income households, single parents and those who left high school early. While employers of non-barrier youth receive 50:50 wage matching from AAFC, employers of youth facing barriers can receive 80:20 wage matching. There is also a potential $5,000 in additional funding to allow employers to address barriers faced by the youth interns.

3.2 Resources

Between 2019-20 and 2023-24, YESP made $48.0 million in non-repayable contributions to employers who hired youth interns. AAFC employed an average of 6.4 full-time equivalent employees over the evaluation period to deliver the program.

Table 1: Youth Employment and Skills Program expenditures and full-time equivalents¹

Source: Corporate Management Branch data

Notes

1. Actual spending and full-time equivalents coded to Internal Services are not included.
2. 2023-24 is based on claimed expenditures up to July 25, 2024.

4.0 Relevance

YESP supports AAFC’s core responsibility for domestic and international agricultural markets. YESP provides youth work experience in agriculture, thus contributing to addressing 2 issues facing the sector: labour shortages and an aging workforce. For example, YESP supported employers in providing work experience to youth interns in agricultural industries that had job vacancy rates higher than the 2023 national average.^{Footnote 2}

Statistics Canada data shows, the average age of farm operators in Canada in 2021 was 56 years old,^{Footnote 3} 2 years older than it was in 2011. Employers and industry association representatives said YESP is key to providing young people with the hands-on experience in agriculture that will allow them to envision a career in the sector. One industry representative pointed to research by the Canadian Agricultural Human Resources Council which has shown there is a disconnect between what youth and parents know about the agricultural industry and what it has to offer.^{Footnote 4} According to the representative, there is a real need for increased understanding about what modern agriculture is all about and having youth on the job is the best way to demonstrate what the sector has to offer.

5.0 Effectiveness

5.1 Outputs

Over the evaluation period, the program contributed to the employment of 4,355 youth in the agricultural sector, exceeding its target of providing employment for 4,050 youth. Figure 1 below shows that over the past 5 years, youth interns were broadly distributed across provinces and territories with the largest number of interns in Ontario and Quebec, and smaller numbers in the Atlantic region, Yukon and the Northwest Territories. During the evaluation period, no applications were received from Nunavut. The funding distribution is generally consistent with the program’s planned allocations by region.^{Footnote 5} The Program prioritizes applicants from Indigenous organizations followed by one application from each employer. Any remaining funding is allocated by taking into consideration each region’s gross domestic product contribution to the primary agriculture and food and beverage processing industry.

Figure 1: Number of interns by province and territory, 2019-20 to 2023-24

Almost all employers interviewed said the program allowed their farming operations, agriculture-related businesses or non-profit organizations to hire more youth or attract and retain youth by paying them higher wages than they could have without the YESP wage subsidy.

5.2 Immediate outcomes: job readiness and career advancement

Final reports submitted by youth interns showed that 93% felt they had improved their employment skills and in their final reports 92% of employers agreed. All of the employers and youth interns interviewed said that youth gained valuable on-the-job experience. They said interns gained new problem solving and life skills, along with specific agricultural skills in areas such as bee keeping, growing vegetables as well as livestock care and breeding.

A couple of employers said that the tactile nature of working on a farm builds confidence as youth can see the results of their work, for example, in the crops they take to market. One employer said they believed that farming helps young people build character by teaching the life lessons some youth may have missed out on.

All of the youth interns interviewed said that YESP provided them with an opportunity to work in agriculture or an agriculture-related business for the first time. For a couple of interns this experience was key to advancing their careers. One former youth intern credited their on-the-job experience in genetics with assisting them with their successful admission to veterinary college. Another said YESP internships provided them with the experience to find well-paying jobs that supported their return to school.

5.3 Intermediate outcome: acquire employment

Following the program 32% of youth interns reported being employed, while 34% had returned to school.^{Footnote 6} While YESP met its target for the number of youth returning to school (an indicator of further career development), it fell short of its target that 60% of youth interns would be employed after participating in the program. Program officials explained this is likely because the target was set too high and was based on an earlier AAFC Career Focus program that targeted youth who were completing post-secondary education.

While youth interns are the target beneficiaries of YESP, interviews also highlighted its benefits for employers. For example, the owner of a recently established organic farm said the wage subsidy was key to helping their business grow to the point where it now employs 8 people. A representative of a non-profit organization said support from the program enabled the organization to grow and distribute healthy food to those facing food insecurity.

5.4 Gender-based analysis plus

There is strong evidence that YESP has been effective in helping youth facing barriers find employment. More than half (63%) of the youth interns hired under YESP in the past 5 years were those facing barriers. About half of interns (52%) were from rural and remote areas and there was strong representation of Indigenous youth, racialized youth, those with a disability and those from official language minority communities. (See Figure 2.) the program supported the employment of women and racialized youth in greater proportion than their current representation in the agricultural labour force.^{Footnote 7}

Figure 2: Percentage of youth interns facing different barriers to employment¹

In 2022-23, when YESP saw a drop in funding, almost all youth interns supported through the program were those facing barriers. As discussed, along with higher wage matching, employers who hired youth facing barriers were eligible for up to $5,000 in additional support. Both AAFC staff and employers said that extra funding has helped employers to both identify the barriers their youth interns are experiencing and to create a better working environment for those employees. In their funding applications, employers stated they intended to use the extra funding to provide accessibility equipment and technology, as well as transportation. Several employers said the additional funding recognizes that youth facing barriers often require greater on-the-job supervision and support. Several of the youth interns interviewed were those facing barriers; they reported that they felt well-supported by their employers who made accommodations such as providing detailed explanations of work tasks, providing more time to complete those tasks or allowing the interns to work shorter days.

6.0 Efficiency

6.1 Program delivery

Over the evaluation period, the program met its service standards for reviewing program applications and providing payments to employers. Employers interviewed were satisfied with program delivery, with several praising YESP’s flexibility and the responsiveness of program staff. Several employers remarked that the program was easier to access than other government programs.

YESP is delivered by a small but experienced team that averaged 6.4 FTEs over the evaluation period. Annual spending ranged from a low of $2.9 million in 2019-20 to a peak of $21.3 million in 2021-22 (see table 1). The rapid budget expansion during the COVID-19 pandemic challenged AAFC to staff up^{Footnote 8} and put systems in place to deliver the increased funding. Between 2019-20 and 2021-22 the number of applications to the program increased from about 300 a year to more than 3,000. To increase efficiency and reduce staff time, the program has progressively integrated computer automation of application and claims processing.

AAFC has a small allocation of ongoing funding for YESP that averaged $1.2 million a year over the evaluation period. However, as shown in Figure 3, the majority of program resources have flowed from annual top-up funding. Obtaining annual funding approvals before the program can be delivered adds to the workload of program staff. Program managers said in practice this means the work required for YESP delivery exceeds what would be expected for a program with a small ongoing budget.

Further, funding approval delays has resulted in a misalignment between when funding is needed for employers and when it is available to AAFC. This has meant the department is often delayed in opening its calls for applications. Employers said that late notice of program availability has made it difficult to plan ahead, advertise their jobs and attract employees for the next growing season.

Figure 3: Annual ongoing, incremental and additional YESP allocations (millions of dollars)

One issue raised by a couple of employers and an industry association representative was the challenge they faced with completing the online forms the program uses for applications and reporting. Given this challenge, they said they would have appreciated the option to submit a paper application or report. While this option is available to employers, it was not clearly articulated in the information available online.

6.2 Performance measurement

Given the low level of ongoing funding for YESP, AAFC did not create a department-specific performance measurement strategy for the program. Rather, the program used the Youth Employment and Skills Strategy logic model (see Annex B) and harmonized performance measurement strategy developed by ESDC in consultation with delivery partners, and included AAFC specific baselines, targets and data sources. The Program collected comprehensive data on job readiness, career advancement and employment outcomes through employer and youth final reports. However, the alignment between the questions in those reports and the corresponding performance indicators was not always clear.

The increased program funding for YESP in recent years (see Figure 3) merits the development by AAFC of a program-specific performance information profile (PIP) against which future departmental evaluations would be conducted, should future funding levels require departmental evaluations. Such a PIP would include a detailed program description and logic model with program outcomes and indicators specific to the agricultural sector. It would also describe how YESP aligns with the horizontal performance measurement strategy. Development of the PIP would allow the department to better align its performance indicators with its reporting tools to better inform management at ESDC and AAFC on program performance and outcomes. It would also allow the department to assess what data would be useful to better understand the cumulative impact of AAFC support to the agricultural sector. For example, to date, the program has gathered data on the type of employers using YESP (such as for-profit or not-for-profit organizations), but it has not looked at the size of employers, for example, smaller vs. larger producers.

7.0 Conclusions and recommendations

The evaluation found that YESP is relevant as it aligns with AAFC’s core responsibilities and contributes to federal job creation priorities in the agricultural sector.

YESP exceeded its targets for overall youth employment and employment of youth facing barriers. It achieved its immediate outcomes as youth gained work experience in the agricultural sector with the vast majority of interns and employers saying the interns had gained new employment skills. The program made progress toward its intermediate outcomes as about a third of interns gained employment beyond their participation in the program, while another third returned to school.

YESP was delivered efficiently and effectively, with increasing automation of program application and reporting processes mitigating somewhat the large year-to-year variations in top-up funding the program received in federal budgets. However, the program lacks a department-specific performance measurement strategy that clearly maps outcomes, indicators and data being collected.

Recommendation

Recommendation 1: The Assistant Deputy Minister Programs Branch, in consultation with Corporate Management Branch should create a program-level PIP for YESP that aligns with the overall horizontal performance measurement strategy for the Youth Employment and Skills Strategy and includes department-specific results and targets.

Management response and action plan

Management from Programs Branch, in consultation with Corporate Management Branch are supportive of this evaluation as well as the recommendation and have outlined an action plan to address them by March 31, 2025. Please see Annex C.

Annex A: Evaluation methodology

Document review

To support the assessment of YESP’s relevance, efficiency and effectiveness, the evaluation reviewed YESP foundational documents, departmental and federal government reports. It also reviewed the files for YESP projects funded from 2019-20 to 2023-24.

Data review

To support the efficiency and effectiveness of YESP, the evaluation analyzed quantitative administrative data, performance data and financial data. Final project reporting received from 3,108 employers and 2,613 youth interns provided key evidence to support effectiveness.

Key informant interviews

Key informant interviews gathered insights from program stakeholders on the relevance, efficiency and effectiveness of YESP. Interviews were conducted with a total of 20 stakeholders between February and March of 2024. This included program staff at AAFC and ESDC, industry association representatives, employers and youth interns. Employers and youth interns were randomly selected to participate in interviews with attention to regional representation and inclusion of interns identified as youth facing barriers.

Literature review

The evaluation examined the small number of peer reviewed publications examining the needs of youth seeking employment in the Canadian agricultural sector. The literature was identified through internet search and the Canadian Agricultural Library.

Limitations

Annex B: Youth Employment and Skills Strategy Logic Model^{Footnote 9}

Activities

• Supports to enable youth to participate in work and training opportunities
• Skills training, employment services, networking and liaison services
• Tools and resources to support employers to hire and retain youth, including those facing barriers
• Employer wage subsidies supporting work placements, career-specific internships and on-the-job mentorship and training

Outputs/shared strategic outcome

• Youth, particularly those facing barriers, access programs that allow them to acquire the skills, learning experience and opportunities they need to find and maintain employment or return to (or remain in) school

Immediate outcomes

• Job readiness: youth attain skills, knowledge and supports necessary to acquire employment
• Career advancement: youth attain skills to advance in their careers
• Employer readiness: employers are able to hire and retain youth^{Footnote 10}

Intermediate outcome

• Acquire employment: youth attain and retain quality employment (employers hire and retain youth)

Ultimate outcome

• Youth successfully participate in an inclusive labour market^{Footnote 11}

Annex C: Management response and action plan