🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Youth unemployment rising in China and Brazil, ILO says

Published 09/10/2015, 01:45
Updated 09/10/2015, 01:50
© Reuters. Jobseekers with signs mentioning their skills wait for employers at a market street in a Hutong, Chinese for

By Tom Miles

GENEVA (Reuters) - Youth unemployment is coming down in rich countries but rising in China and Brazil as economic growth abates, the International Labour Organization said on Thursday.

Worldwide, the number of unemployed youth - those aged 15-24 who want to work but cannot find jobs - dropped to 73.3 million in 2014 from a peak of 76.6 million in 2009.

But the youth unemployment rate in China has risen from 9.3 percent in 2010 to 10.6 percent last year. It is projected to reach 10.8 percent this year and 11.1 percent in 2016, the ILO said.

China's youth population will actually have shrunk by a quarter over those seven years, to 181 million, but the number of young people without jobs will have dropped by only 1 million over the same period.

Azita Berar-Awad, director of the ILO's employment department, said slower growth meant fewer jobs for young Chinese who had migrated to the cities, but a surfeit of graduates was also to blame.

"They've had an explosion of university graduates in the past so many years, with investments in universities, and not all these qualified young people find jobs that meet their qualifications, even in a growing economy like China," she said.

In some other countries, more people going to university has helped reduce youth unemployment, as young people leave the labour market.

Like China, Brazil is also seeing slower economic growth. Its youth unemployment rate, 16.0 percent in 2010, has been at 14.0 percent or below for the past three years. But in the first two quarters of 2015 it averaged 15.8 percent.

"ILO modelled numbers were projecting 15.5 percent for 2015, so these numbers hint that this could come out higher. Also, bear in mind our numbers would not yet incorporate the latest more bleak economic figures of the IMF," said Sara Elder, lead author of ILO's Global Employment Trends for Youth report.

Globally, youth unemployment has been 13.0 percent for the past three years, but this year it is expected to rise for the first time since 2003, to 13.1 percent, and then rise again to 13.2 percent in 2018.

The ILO says youth unemployment matters for reasons beyond economic growth. It also affects health, civil unrest and overall levels of happiness.

The highest rates are among women in the Middle East and North Africa, at around 45 percent.

© Reuters. Jobseekers with signs mentioning their skills wait for employers at a market street in a Hutong, Chinese for

In developed economies and the European Union, the aggregate youth unemployment rate has fallen from 18.0 percent in 2012 and is projected at 16.2 percent for 2015, and to continue falling.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.