Economy growing fast, but youth employment isn't keeping up

Economy growing fast, but youth employment isn't keeping up

Young people are willing and able to work but do not get jobs; they face many struggles and obstacles in the world. ILO data shows that the share of young people in affected areas of instability struggling to start their careers has risen from 2.9% in 2002 to 4.6% over two decades. Limited job opportunities in such regions often lead to migration or, in some cases, extremism. For 20 years, the Global Employment Trends (GET) Youth reports have analyzed youth labor rights issues and promoted policies for decent work. The 2024 anniversary edition reviews progress since the early 2000s and addresses future setbacks. Its Regional Brief for Asia and the Pacific uses ILO estimates and national data to guide targeted strategies for improving youth employment expectations.

In 2023, Asia and the Pacific's youth unemployment rate was 13.9%, a full recovery from the COVID-19 peak of 15.7% in 2020, and a little improvement over prior to the pandemic in 2015–2019. East Asia had a record high of 14.5% in 2023, while South Asia demonstrated hopeful drops in youth unemployment and increasing employment ratios. In the middle of both ends, Southeast Asia and the Pacific had a variety of effects. The gender gap that impacts young women is a major factor in South Asia's 2023 NEET rate of 26.4%, which is far greater than that of other areas.In spite of likely GDP growth and a little decline in youth unemployment, NEET rates are predicted to increase once more by 2025, indicating ongoing structural challenges to work and education. The GET Youth 2024 report states that job security is still an issue in every subregion. The regions with the most concerns about job loss are Southeast Asia and the Pacific (77%), South Asia (71%), and East Asia (64%). Conflict fears are also widespread, with 76% of South Asian youth concerned about the possibility of war, compared to 60% in East Asia and 56% in Southeast Asia and the Pacific—levels that have risen since 2010.

Economic vision is mixed, with nearly 60% of people in the region viewing current opportunities as inadequate. Just 61% of young people in South Asia think they can achieve their job ambitions in two years, with women having far lower confidence. Among all worldwide subregions, Asia-Pacific youth have the highest levels of expected upward mobility, with the majority of young people in the region believing their quality of living is going to exceed that of their parents. These results show that although there is a noticeable improvement in the labor market, issues with opportunity, equality, and stability still exist. In Asia and the Pacific, few young adults secure regular wage-paying jobs that meet labor standards for pay and working conditions. South Asia is the only subregion to show progress over the past two decades in increasing the share of workers aged 25–29 with contracts of at least one year, yet it still has the highest rate of insecure work, with over two-thirds lacking job security. East Asia fares better, with 59% of young adult workers in more secure positions.

Between 2000 and 2023, temporary employment increased from 20% to 28%. 33% of 15–24-year-olds were employed in 2023, 45% were enrolled in school or training, and 22% were NEET. While school attendance has rapidly grown, employment has declined during the early 2000s. By 2035, 59% of Asia's population is expected to live in urban regions, which is nearly half now. However, most youth—except in China—still reside in rural areas. Rural youth in slower-transforming economies depend heavily on agriculture, while in more developed regions, non-agricultural jobs are growing, though farming remains a key employer. About 20% of youth in Asia are neither in education, employment, nor training (NEET), and over 86% of employed youth work in the informal sector, a higher share than adults. In Asia, over 86% of employed young people work in the informal sector, a larger percentage than adults, and 20% of youth are not in education, employment, or training (NEET).

Nearly 60% of the world's young people reside in the Asia-Pacific region, but many of them experience difficulties making the move from school to the workforce, particularly in South and Southwest Asia, Southeast Asia, and the Pacific. Unfair treatment of female youth is more common, especially in rural areas. COVID-19 severely disturbed youth labor markets, with agriculture suffering major job losses. Increased level of education has resulted in skill mismatches and graduate unemployment. Higher education reduces NEET and underemployment rates in high- and upper-middle-income countries. The majority of young people in Asia-Pacific reside in lower-income countries, so this effect is less indicated and reflects specific structural issues with the academic-to-job paths. Since the majority of employment options in Asia and the Pacific are in low-skilled sectors like construction, retail, and lodging, which may not offer job security or labor rights, young people in these regions have a hard time obtaining acceptable occupations.Important steps to address this include increasing access to education and putting in place sectoral and economic policies that are gender-responsive in order to generate more and better jobs. Strengthening social and labor protections can facilitate the transition to official, stable work. Policymaking should focus on youth and have more young-inclusive discourse. Long-term boosts to youth employment possibilities also depend on tackling global inequality through better international cooperation, public-private partnerships, and development finance.


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