Victor Dodig said Canada must prioritize its young people to secure long-term economic prosperity
Canada’s economic future hinges on investing in its youth, outgoing Canadian Imperial Bank of Commerce CEO Victor Dodig said, as he reflected on a decade at the helm of one of the country’s largest banks.
Speaking at a Canadian Club event in Toronto just days before his retirement, Dodig delivered a candid assessment of the country’s recent economic performance and called for urgent policy action to support younger Canadians.
“Let’s say the last 10 years have been, maybe not our finest hour,” Dodig said.
“Maybe I am being too kind in saying that. You lose a decade, arguably, you lose two decades. You lose two decades, you’ll lose a generation. And that is something really, really serious.”
Dodig’s remarks come as Canada grapples with high unemployment and sluggish productivity, even as the federal government promises new infrastructure projects and seeks to reduce reliance on the United States amid ongoing tariff threats from President Donald Trump.
Dodig, however, argued that such nation-building projects, while important, are not enough to address the challenges facing young Canadians.
Canada’s youth unemployment rate was 14.5% in August 2025, down a bit from July but still one of the highest levels since 2010, excluding the pandemic years.
A big reason is that there are fewer jobs in retail, food, and accommodation—industries that typically employ young people. The trade war, increased automation, and shifting consumer habits have led to job cuts in these sectors, making it tougher for students and recent graduates to find work.
“If you are making $75,000 in the City of Toronto, you have no hope for saving for a house. Old people want X, young people want Y and young people’s concerns aren’t being addressed,” Dodig said.
He pointed to government budgets at all levels, noting, “you’d be shocked at how little is allocated to (younger people).”
This has prompted concern among mortgage professionals and housing analysts, who warn that the effects could ripple through the country’s housing and mortgage markets for years.
"Mortgage defaults continue to be highly correlated with unemployment and, to a lesser extent, house price decreases," DBRS explained.
“As unemployment increases, more households could face a cash flow shortage that could lead to an increased number of mortgages in arrears.”
Government and industry responses have so far been limited. While some programs target youth employment and affordable housing, experts say more comprehensive action is needed.
In April, the federal government announced a plan to build 3.87 million new homes by 2031. The plan includes $15 billion in loans for apartment construction and longer, 30-year mortgage terms to help ease the housing shortage.
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