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Global youth unemployment grew in 2025 as economic growth slowed and job creation weakened
Rapid technological changes also created higher barriers for young people entering the workforce.
According to a landmark report released by the International Labour Organisation (ILO) on 11 August, the global youth unemployment rate rose to 12.4%, leaving roughly 67 million young people aged 15 to 24 without work.
At the same time, the share of young individuals not in employment, education, or training (NEET) rose to 20%, affecting over 257 million people.
The report, titled Global Employment Trends for Youth 2026: Back to the Future, showed that higher-income economies experienced sharp spikes in youth joblessness.
A main driver of the crisis is the decline of middle-skilled roles
Clerical, administrative, sales, and manufacturing jobs, which traditionally provided young workers with initial career entry points, are rapidly shrinking.
"A generation that cannot find decent work cannot build its future with confidence," stated ILO Director-General Gilbert F Houngbo.
He warned that locking youth out of quality jobs leads to lost national talent and eroded social cohesion.
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Image via Equal Stock/PexelsIn developing economies, low official unemployment figures often conceal widespread job insecurity
Nearly nine out of 10 young workers aged 15 to 29 in lower-income nations work informally without stable incomes or social protection.
Sub-Saharan Africa faces strong demographic pressures alongside too few jobs.
Meanwhile, the Arab States and Northern Africa recorded the world's highest youth unemployment rates at 26.2% and 22.6%, respectively.
Across Southeast Asia, high entry barriers continue to challenge first-time jobseekers.
In comparison, in North America, youth unemployment rose from 8.3% in 2023 to 9.8% in 2025. Meanwhile, across Europe, the rate remained high at 15%, with 20 out of 29 countries reporting weaker job prospects.
In Malaysia, youth joblessness among those aged 15 to 24 remains elevated at around 10.2%
This data from the Department of Statistics Malaysia (DOSM) reflects broader regional trends where entry-level graduates face friction when transitioning from school to full-time employment.
Technological advances, including artificial intelligence (AI), are also reshaping employment opportunities.
Image used for illustration purposes only.
Image via Mattheus Bertelli/PexelsThe ILO estimates that 6.1% of global youth jobs sit in occupations highly exposed to AI-related changes, many of which overlap with declining administrative and clerical roles.
ILO Director Sukti Dasgupta stressed that governments must step up investments in skills, lifelong learning, and social safety nets to ensure technological progress works for young workers rather than against them.
To tackle the crisis, the ILO called for renewed policy action
The renewed policy, it said, should focus on human-centred AI governance, quality education, expanded apprenticeships, and stronger labour market institutions.
It added that creating dignified, secure jobs through supportive macroeconomic policies remains essential to ensuring young adults can successfully transition into independent adulthood.
