Youth employment is a critical issue for global economic and social development. As globalisation and technological transformation accelerate, the employment landscape for young people has become increasingly complex and dynamic. The OECD’s newly launched Youth Policy Toolkit draws on successful case studies and best practices from its 38 member countries to provide policymakers with a systematic framework for advancing youth employment and enhancing the socioeconomic participation of young populations.
I Current Status and Challenges in Youth Employment
1. Persistently High Youth Unemployment
Despite significant global economic growth over recent decades, youth unemployment remains stubbornly high. In low-income countries, only one-fifth of young people aged 25 to 29 secure stable, paid employment. In high-income nations, while a larger proportion of youth have access to formal jobs, the rise in temporary and gig work has exacerbated employment instability.
2. Shifting Employment Structures
Industrial restructuring and technological advancements are reshaping youth employment opportunities. Traditional sectors are declining, while emerging industries such as the green and digital economies increasingly demand skilled young workers. However, many youth lack the technical competencies and experience required for these fields, leading to a paradoxical mismatch between job shortages and hiring difficulties.
3. Education-to-Employment Mismatch
Many graduates struggle to find jobs aligned with their qualifications due to outdated curricula and misaligned skills training. This disconnect wastes educational resources and deepens youth unemployment. Inequalities within education systems further amplify disparities in employment outcomes.
II. Emerging Trends in Youth Employment Policies
1. Bridging Education and Employment
Countries are prioritising stronger links between education and labour market needs. Initiatives such as industry-academia partnerships, apprenticeships, and hands-on internships help students gain workplace exposure and enhance employability. Governments are also investing in vocational education and upskilling programs to align training with industry demands.
2. Promoting Entrepreneurship and Self-Employment
Entrepreneurship has become a vital pathway for youth employment. The Youth Policy Toolkit highlights national strategies such as startup grants, subsidised workspaces, tax incentives, and mentorship programs to lower barriers for young entrepreneurs. Governments are also improving regulatory environments and offering tailored advisory services to foster innovation.
3. Strengthening Employment Services and Support
Many countries are bolstering youth-centric employment services, including career counselling, job-matching platforms, and streamlined administrative processes to reduce job-seeking costs. Anti-discrimination measures and labour rights protections are also being reinforced to ensure fair opportunities.
4. Targeted Support for Vulnerable GroupsMarginalised youth—such as those with disabilities, migrants, or ethnic minorities—face heightened employment challenges. Tailored interventions, including personalised career guidance, specialised training, and affirmative hiring policies, are critical to improving their labour market integration.
III. Policy Recommendations
1. Develop Comprehensive Youth Employment Frameworks
Governments should establish holistic policy frameworks with clear objectives, priority areas, and implementation roadmaps. Cross-sector coordination and resource integration are essential to maximise impact.
2. Align Education with Labour Market Needs
Invest in vocational education and expand partnerships with industries to ensure curricula reflect real-world demands. Strengthen quality assurance mechanisms to address skills gaps and educational inequities.
3. Empower Youth Entrepreneurship
Enhance financial and technical support for startups, including grants, tax relief, and incubator programs. Integrate entrepreneurship education into school systems to cultivate innovation and business acumen.
4. Prioritise Vulnerable Youth Populations
Design inclusive policies addressing the unique barriers faced by disadvantaged groups. Expand access to subsidised training, mentorship, and anti-discrimination enforcement to promote equitable opportunities.
5. Foster Global Collaboration
Youth employment is a global challenge requiring cross-border cooperation. Governments should share best practices, harmonise data collection, and collaborate on multilateral initiatives to drive systemic solutions.
https://www.oecd.org/en/publications/oecd-youth-policy-toolkit_74b6f8f3-en.html
Source: OECD, November 26, 2024
Hua Xuanzi, Research Institute for International and Comparative Education, Shanghai Normal University
