Estimates by the International Labour Organization (ILO) state that global youth unemployment is expected to be at higher levels all through 2017, as developing economies continue to struggle to adapt to the demands for sustainability and equitable development along with the demands for economic growth. Disparities exist among not just different age groups, but also other demographics such as gender, especially among states in Southern Asia, Northern Africa, and Sub-Saharan Africa, and the gaps continue to widen as these young adults continue to transition to adulthood. Labor Force participation among youth continues to be a problem especially in developing economies as effective development is still lacking, leading to lack of opportunities.
Poverty is especially high among the young worker demographic in many developing countries, especially Sub-Saharan Africa South Asia and the Middle East as mentioned.The poor quality of employment goes along with other factors of lack of development and leads to a high proportion of the populations of these countries being willing to migrate, especially abroad where opportunities are better. This affects employment policies in these countries as well, as better equipped, skilled workers will usually, upon opportunity, seek avenues abroad, and this leads to lack of a highly skilled workforce, which eventually feeds back into the lack of development.
http://www.un.org/youthenvoy/2016/08/global-youth-unemployment-rise/
While it's true youth unemployment is especially bad in its effects on poor developing countries, youth unemployment is also a big problem in Europe. The head of Europe's central bank, Draghi, recently said during a visit to Ireland that changes were needed to make pay more flexible and provide more support to help young people find jobs in Europe. When Greece, Spain and Ireland all were in economic crisis several years ago, up to half of the youth in those countries could not find work. See https://www.ft.com/content/2950b1c7-5d7a-3103-b950-0b06f5c98c77
ReplyDeleteI agree that youth unemployment has a negative effect on poor developing countries. The youth that can’t find jobs may think they can never find one and will give up trying which will decrease the labor force. This could open up more jobs, but if there aren’t any to begin with it may not have an affect right away. This unemployment may also influence people to leave the country to find better job opportunities. This has the opportunity of leaving these poor countries with less skilled workers. With the skilled workers gone, companies will now have to train new employees for the jobs. This could lead to less time producing and overall decreasing the supply of goods and services. This could also end up effecting the productivity and the overall GDP and the income levels of the people. As a result, companies end up making them even poorer.
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