Global Youth Unemployment Rate Hits Record High

Strategic Insights -

The global youth unemployment rate has reached a record high, with 81 million young people aged 15-24 out of work at the end of 2009, according to a new report by the United Nations International Labour Organization (ILO). This represents a significant increase from 11.9% in 2007 to 13% in 2009, with the youth unemployment rate expected to climb even higher in the coming years. The report warns of a possible "lost generation" of young people who may never find decent work, with long-term consequences for their future prospects and the stability of societies.

Key Takeaways:

  • The global youth unemployment rate reached 13% in 2009, the highest number ever, with 81 million young people out of work.
  • The youth unemployment rate climbed from 11.9% in 2007 to 13% in 2009, a significant increase.
  • The ILO forecasts that the youth unemployment rate will reach 13.1% in the current year before declining to 12.7%, but warns that youth unemployment rates have been more sensitive to the global economic downturn than those of adults.
  • In developing economies, home to 90% of the world's young people, youth are more vulnerable to unemployment and poverty.
  • Nearly 30% of all young workers in developing economies were employed but remained mired in extreme poverty in households surviving on less than $1.25 per day in 2008.
  • The ILO director-general, Juan Somavia, stressed that young people are the drivers of economic development and that forgoing their potential is an economic waste that can undermine social stability.
  • The report recommends comprehensive and integrated strategies that combine education and training policies with targeted employment policies for youth.

Statistics:

  • 620 million economically active youth between the ages of 15 and 24.
  • 81 million young people out of work at the end of 2009.
  • 13% youth unemployment rate in 2009.
  • 11.9% youth unemployment rate in 2007.
  • 13.1% forecasted youth unemployment rate in the current year.
  • 12.7% projected youth unemployment rate.
  • 90% of the world's young people live in developing economies.
  • 30% of all young workers in developing economies were employed but remained mired in extreme poverty in 2008.

Sources:

  • United Nations International Labour Organization (ILO)
  • UzReport