20 Nov 2020
One in 20 young people in the UK are unemployed, the highest point in four years, according to findings out on Friday.
According to the Office for National Statistics, around 350,000 people aged between 16 and 24 were classified as unemployed between July and September.
Despite declining over the past 10 years, youth unemployment is now at its highest point since 2016.
That said, overall, the number of young people not in a job, education or training has dropped, says a City AM report.
The ONS said this is “partially because there has been a large increase in the proportion of young people in full-time education.”
The figures were marginally worse for young men, 7% of whom were classified as unemployed, whereas only 3% of young women were unemployed during this timeframe.
The fallout from the coronavirus crisis has impacted young workers much more than older workers.
During the first wave of the Covid pandemic, one third of people aged between 18 and 24 were unemployed or furloughed, which is twice the national average, according to the Resolution Foundation.
Earlier this month, Nye Cominetti, Senior Economist at the Resolution Foundation said of UK unemployment: “The summer saw record redundancies and an unemployment rise of nearly a quarter of a million, as the economy reopened but firms believed the furlough scheme was being wound down.
“As the crisis enter its ninth month and second lockdown, job losses will continue to mount. Crucially this is much about those out of work struggling to find new roles as it is about job losses.
“Given these headwinds, the Chancellor is right to have to extended the furlough scheme. But much more support is needed for unemployed workers – from strengthening our safety net to investing in new job creation.”
Furthermore, as per research carried out on workers in Germany, the impact on income of unemployment early on in a career can last over 10 years.
The findings showed workers who suffer from repeated bouts of unemployment are most at risk.