problem solution essay youth unemployment

Youth Unemployment and Policy Solutions Essay

Policy solutions, recommendations, works cited.

Nowadays, the problem of unemployment affects people in different age groups. Youth unemployment (YU) is especially problematic since for people aged 15-24, the lack of available jobs is associated with the inability to pay for education and start their own families. Despite significant economic differences between countries, the problem affects young people all over the world. As of 2018, the average YU rates ranged from 3.7% of the force aged 15-24 in Japan to 53% in South Africa and did not exceed 9% in the United States (“Youth Unemployment Rate (Indicator”). Importantly, YU is closely interconnected with minority discrimination. For instance, in the United States, the group with the largest unemployment rates is African-American young men and women between 16 and 19 years old (“Labor Force Statistics”). Minority groups can be affected by this problem due to a variety of factors, including potential employers’ biases, educational inequality, and the lack of necessary skills.

The growth of YU rates has a variety of negative consequences, impacting both economic development and people’s quality of life. The inability to address the problem of unemployment in the given age group may result in the growth of criminal activity, child poverty, and people’s negative perceptions of life (Kalleberg). The causes of YU are being thoroughly researched. The following factors may be the potential causes of the problem:

• Age-based discrimination in the job market;
• The lack of necessary qualifications;
• Short supply of jobs;
• Ethnic discrimination;
• Globalization and technological advancement (Kalleberg 36).

Apprenticeship Systems

A larger number of strategies expected to reduce YU rates has been proposed in different countries. Given that unemployment exists due to individuals’ limited opportunity to get necessary skills, the first potential solution is based on young people’s access to courses helping them to get any professional skills that are in demand. Such policies are widely used in both developed and developing countries to strengthen partnerships between educational institutions and key employers in some regions. As a potential solution, the creation of apprenticeship systems aimed at the development of skills is generally believed to be an effective practice (Riphahn and Zibrowius 33). Unlike older people, young citizens do not have networks that would make them aware of job opportunities matching their skill levels (Kalleberg 37). Taking this fact into consideration, apprenticeship programs are particularly important since they introduce future specialists to certain professional fields, at least helping them to understand their future employers’ expectations.

Being used in many countries with high GDPs, apprenticeship systems have a variety of advantages when it comes to the problem of unemployment. Some of the most significant benefits of such policies are listed below:

• Future employees get helpful experience and learn to solve real-life problems;
• Apprenticeship trainings help reduce dissatisfaction with the chosen jobs;
• Young people make their first professional contacts, which can be helpful in the future;
• Apprenticeship programs are focused on the development of practical skills that are in demand (Riphahn and Zibrowius 35).

Even though such policies can lead to positive changes in the situation with unemployment among young people, they should not be the only option to rely on due to their potential disadvantages. The weak points of apprenticeship programs include the following:

• Not all programs for young people are fee-free;
• There is no evidence that apprenticeship programs reduce race-based inequality in access to jobs.

Support of Youth Entrepreneurship

There are many policies that aim to reduce the problem of unemployment by implementing initiatives that support youth entrepreneurship. According to experts from the UN, to reduce YU, it is necessary to provide young people with more opportunities to start their own businesses and contribute to their countries’ economic development (UNCTAD 86). The proposed policies involve the simplification of procedures needed to start a business and the introduction of start-up incentives for new businesses led by young people (UNCTAD 86). Such programs should always be implemented with attention to the economic situation in particular countries and the presence of necessary resources.

Policies that promote financial and regulatory support of young entrepreneurs can positively impact the situation with unemployment and encourage more people to implement their ideas into practice. In general, the following advantages of such initiatives can be singled out:

• The growth of the small business sector (UNCTAD 86);
• Youth-led businesses can create new jobs for young people;
• Allowances can help young entrepreneurs to stay competitive;
• Youth entrepreneurship can positively change the labor market in disadvantaged areas.

However, this strategy has some disadvantages and involves certain unobvious risks. There is no doubt that more individuals will try to profit from their ideas if some regulatory barriers to starting a business are removed. At the same time, given that people aged 16-24 usually have no experience of being a business leader, the outcomes of increased entrepreneurial activity among youth present an open question. As for particular disadvantages, the following factors make the policy’s relevance to the discussed problem questionable:

• Young entrepreneurs may fail to manage business operations successfully;
• The policy does not guarantee equal opportunities for the representatives of different ethnicities;
• To achieve success, young entrepreneurs can prefer to collaborate with experienced specialists, which limits the initiative’s impact on YU.

The approaches to addressing the problem of YU vary greatly. Both the adoption of apprenticeship systems and measures helping to encourage entrepreneurship activity among young people. This initiative may help create more job options for young citizens with different educational levels because they focus on the development of practical skills and aim to remove barriers to business. Increased entrepreneurship activity, in its turn, leads to the creation of new jobs, which can be important to young people who cannot find jobs in large companies due to high competition.

Despite the advantages of policies that support youth-led businesses, the first option seems to be a more suitable solution. Apprenticeship systems and programs can prepare young people to fulfill different roles and work in a team, which is critical to success in career development. In contrast, overreliance on policies to increase the number of youth-led businesses will not help to prepare a diverse workforce. Moreover, although such policies are targeted at young people, it is not valid to say that entrepreneurs in this age group hire only inexperienced employees, and it reduces such programs’ relevance to the chosen problem. Taking these disadvantages into consideration, it can be recommended to solve the problem of YU by propelling the idea of apprenticeship programs to the next level. In particular, it is critical to design new measures to prevent organizations from discriminating against racial and ethnic minority applicants. Therefore, to increase young people’s chances to find good jobs and develop skills that are in demand, it can be necessary to introduce changes to some policies that are already in use.

Kalleberg, Arne L. “Precarious Work and Young Workers in the United States.” Youth, Jobs, and the Future: Problems and Prospects , edited by Lynn S. Chancer et al., Oxford University Press, 2019, pp. 35-52.

“Labor Force Statistics from the Current Population Survey.” United States Department of Labor . 2019, Web.

Riphahn, Regina T., and Michael Zibrowius. “Apprenticeship, Vocational Training, and Early Labor Market Outcomes – Evidence from East and West Germany.” Education Economics , vol. 24, no. 1, 2016, pp. 33-57.

UNCTAD. Policy Guide on Youth Entrepreneurship . United Nations, 2015.

“Youth Unemployment Rate (Indicator).” OECD , 2019, Web.

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Youth Unemployment Causes and Solutions

With the post-2015 development agenda calling for decent work for all, understanding youth unemployment causes and solutions is key.

Globally, 73 million youth are registered unemployed . Considering how many aren’t registered, this number is actually much higher. 620 million are currently not in employment, education or training (NEET), according to the World Bank.

Meanwhile, with 600 million young slated to enter the job market in the next decade – with only 200 million jobs awaiting them – the youth unemployment crisis is not projected to improve anytime soon.

The post-2015 development agenda is prioritising decent work and economic growth in its Sustainable Development Goal 8 , but “promoting inclusive and sustainable economic growth, employment and decent work for all” requires targeted solutions.

Youth unemployment causes

1. Financial crisis

Though the current youth unemployment crisis was not caused by the financial crisis alone, the recession just made existing problems in labour markets, education systems and other structures worse.

Greece and Spain, for example, were experiencing high youth unemployment years before the financial downturn, and a sudden surging of economies wouldn’t be enough to put the 74 million unemployed young people to work. Furthermore, the youth unemployment rate is two to three times higher than the adult rate no matter the economic climate.

The recession did, however, affect the quality and security of jobs available to young people. Temporary positions, part-time work, zero-hour contracts and other precarious job paths are often the only way young people can earn money or gain experience these days.

2. Skills mismatch

The skills mismatch is a youth unemployment cause that affects young people everywhere. There are millions of young people out of school and ready to work, but businesses needs skills these young people never got. Young people end up experiencing a difficult school-to-work transition, and businesses are unable to find suitable candidates for their positions.

Similarly, young people who have advanced degrees find themselves overqualified for their jobs, and many young people are also underemployed, meaning they work fewer hours than they would prefer. There is an economic as well as a personal cost here: young people are not being allowed to work to their full potential.

3. Lack of entrepreneurship and lifeskills education

While the exact cause of the skills mismatch is difficult to pin down, it’s a combination of school curriculums neglecting vocational, entrepreneurial and employability training in favour of more traditional academics, poor connections between the private sector and schools to promote training and work experience and a lack of instruction in how to harness lifeskills most students already have .

4. Lack of access to capital

Young people who want to make their own jobs by starting businesses often struggle to find access to affordable loans, or loans in general. This is partially due to a lack of collateral. High interest rates also make it difficult for young people to repay their loans on time. The World Bank notes that <1% of loan portfolios of loan providers are directed at those under the age of 30.

5. A digital divide

In some low-income countries, the skills mismatch is compounded by a lack of access to technology or the internet. If schools are unable to afford the tools to educate young people in the digital sector, these young people are at a disadvantage in the job market.

Youth unemployment solutions

1. Education and training programmes

Initiatives or extracurricular instruction that target the skills gap can focus on anything from employability skills to job hunting and interviewing to entrepreneurship to vocational education (including opportunities in the green economy ). Ideally, in the future, these kinds of education will be embedded into national curricula, tackling the skills gap.

Examples of training programmes include our Work the Change initiative and Be the Change Academies , which provide young people with the skills they need to succeed in their careers.

2. Youth access to capital

For young people keen to get start-ups funded, they don’t have to rely on banks alone. Crowdfunding sites like Kiva.org and networks like Youth Business International  give young people all over the world the chance to get the support they need to build their enterprises and increase their incomes. With more programmes like these being created every day, the future is getting brighter for aspiring entrepreneurs.

3. Universal internet access and greater availability of cheap tech

With programmes like Facebook’s Internet.org working towards free internet access to key sites and Computer Aid providing IT education across 32 countries, this solution to the digital divide is coming along. However, infrastructure development (electrical grids, etc.) is obviously key to this goal. As lower-income nations develop these sectors, the digital divide will continue to be bridged.

4. Skills matching

The private sector, government and education systems need to start collaborating to determine what knowledge and skills young people should be taught in order to find rewarding work. Considering businesses are suffering from the skills mismatch, too, they need to take a more active role in promoting appropriate education and skill-building for young people from an early age.

Representatives from HR can provide career advice and give advice on job hunting, too. Social enterprise initiatives and non-profits are helping facilitate these connections, as are schools individually. However, wider efforts to involve the private sector in education are needed.

Achieving Sustainable Development Goal 8 and ensuring everyone is able to secure decent work means ending the youth unemployment crisis, working with young people and giving them the chance to maximise their potential.

Sources: The World Bank, IMF, Eurostat, ILO, The Guardian, The Work Foundation, European Commission

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5 Ways to Tackle Youth Unemployment

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Persistent jobless growth has reached crisis proportions, especially among the world’s young. The numbers are stark: in 2012, six out of 10 workers aged 15-29 lacked stable employment and earned below-average wages, according to the International Labour Organization. The global youth employment rate has reached 13.1% – almost three times that of adults.

But, while substantive intervention is necessary to tackle a problem of such massive proportions, there’s no silver bullet solution. My NGO, JA Worldwide, recently produced a report, Generation Jobless , detailing both causes of and potential answers to the problem.

Our conclusions: a toxic mix of factors has contributed to the crisis, from mushrooming youth populations in developing regions to a growing mismatch between the skills people have and those that employers need. Addressing the world’s youth unemployment challenge requires a multipronged, long-term effort involving multiple stakeholders, such as governments, employers, educational institutions and civil-society organizations – as well as families, communities and peer groups.

There are five basic strategies that could be pursued globally:

• Boosting job creation and labour demand
• Better preparing young people for the job market
• Illuminating pathways to productive work
• Improving financial well-being, both current and long-term
• Fostering entrepreneurship

Governments, for example, should develop national action plans targeting youth employment. They should establish enterprise incubation programmes and infrastructure projects that hire and train young people. They should also incentivize education institutions and private operators to do the same.

Employers can create entry-level job opportunities, implement school-to-work apprenticeships and on-the-job training programmes, as well as support young entrepreneurs through mentoring.  Educational institutions can incorporate entrepreneurship into the curriculum and work with employers to ensure they offer students the appropriate training.

At JA, our own approach rests on a heavy dose of collaboration. We work in more than 120 countries through over 450,000 volunteer teachers and mentors, who provide experiential learning to young people between the ages of five and 25. Some 3,000 JA employees work closely with educators, policy-makers and corporations to design programmes for young people in their countries. Most of these efforts are aimed at providing youth with hands-on experiences in entrepreneurship, financial literacy and workplace readiness.

A case in point is the innovative ITS TYME (Immersion Training Strategy: Targeting Young Marginalized Entrepreneurs) initiative in sub-Saharan Africa. Working with corporations, government agencies, other local and international NGOs and individual philanthropists, the programme takes entrepreneurship training out of the classroom and into African marketplaces, motor parks, slums and other centres of youth activity. It‘s all focused on equipping underprivileged young people with the practical, strategic and tactical tools they need to become financially self-sufficient and contribute to the social, economic and political life of their communities. In 2013, ITS TYME facilitated over 500 start-ups and 300 mentoring relationships, with notable improvement in incomes across all four project communities.

Consider Tanzania, where, as in other communities, JA’s partners provide technical and vocational training, as well as seed capital, to people trying to start businesses. Through a partnership with Asylum Access and UNHCR/Tanzania, for example, a group of young urban refugees successfully raised capital to start a poultry production company. They found their initial financing of $82 over a period of four months – a major feat for young people whose average daily income is less than 35 cents.

In Latin America and the Caribbean, another noteworthy programme, called Women for Development , was co-developed with the Citi Foundation. It links entrepreneurship education and access to finance through local microfinance institutions, helping participants to improve their financial lives and, in turn, strengthen their communities. Since 2011, more than 5,000 women have benefited.

Mery Mercedes, who lives in the Dominican Republic, is one of those success stories. Unemployed when she started the programme, by the end she was able to launch her own business selling perishable goods. A year and a half later, the enterprise continues to grow steadily. What’s more, she recently qualified for a bank loan after being turned away before.

These experiences carry a clear lesson: that only through the concerted efforts of several parties – and a willingness to stick with it over the long-term – can we address the world’s youth unemployment challenge and achieve lasting change.

Author: Sean Rush is President and CEO of JA Worldwide

Image: Applicants fill out forms during a job fair at the Southeast LA-Crenshaw WorkSource Center in Los Angeles November 20, 2009. REUTERS/Mario Anzuoni

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Youth Unemployment in the Developing World Is a Jobs Problem

Instead of treating education like a silver bullet, a demand-side job creation strategy should be at the heart of youth unemployment programs.

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By Kartik Akileswaran , Jonathan Mazumdar & Angela Perez Albertos Oct. 31, 2023

“When I was preparing to come to Delhi for a job, everyone in the village laughed and asked how it was possible that my village education would find me a job in a big city,” recalled a 22-year-old Tabassum Naaz in 2010. They probably assumed her credentials would be too humble to be of use. Yet like thousands of others across India, from the 1990s onward, Tabassum did find a job (in her case, at Aegis business process outsourcing in Gurgaon, on the outskirts of Delhi). Her studies—at a little-known college in Bihar, one of the lowest-income states in India—were sufficient, because, to put it simply, there were employers seeking workers with her skills.

Many actors in international development today are rightly worried about youth unemployment; despite success stories like Tabassum’s, youth unemployment remains stubbornly high across developing countries: in 2022, it stood at 24.8 percent in the Middle East and North Africa (MENA), 20.5 percent in Latin America, 14.9 percent in Asia and the Pacific, and 12.7 percent in Sub-Saharan Africa. However, initiatives in this space tend to focus on the labor supply side, supporting skills development and education. The World Bank, for example, invested around $1 billion per year between 2002 and 2012 on skills training programs focused on youth. A search for “youth unemployment” in the World Economic Forum website reveals an overwhelming focus on skills development: A 2010 report lists “quality and relevance of education” as the first cause of youth unemployment, a 2016 article calls for training or job readiness programs to address youth unemployment in Latin America, and a 2020 article suggests teaching English, digital, and soft skills to solve the challenge in the MENA region. Other examples abound: Mastercard Foundation, which aims to address youth unemployment in Africa by creating 30 million jobs, identifies “improving the quality of education and vocational training” and “leveraging technology to connect employers and job seekers” as its first two strategies to enable job creation. A review of 75 youth employment programs in the MENA region centered on technical skills training, followed by soft skills training.

Tabassum’s story suggests a different approach. She represents a phenomenon in India that has been substantiated by multiple research studies: employment opportunities driving educational attainment. In this case, education enrollment (especially in English-language schools) actually increased near new IT centers. In other words, rather than education producing good jobs, it was the emergence of “good” jobs, that require certain skills, which incentivized parents to invest in their children’s education. But if a supply of jobs drives an increase in educational attainment, rather than the reverse, then it suggests a shift in orientation for the development community. Addressing youth unemployment by equipping young people with better skills is surely worthwhile in itself, but if not coupled with efforts to create new jobs, skill development initiatives, alone, will not solve the unemployment challenge.

A Jobs Problem

In developing countries, the basic issue is that there are simply not enough jobs for the youth entering the labor market every year, a mismatch exacerbated by high rates of population growth in most developing regions. McKinsey estimates that Africa alone will add 796 million people to the global labor force between 2020 and 2050, a net increase of close to 27 million people per year. For Africa , this will mean twice as many people added to the labor force as in the previous 30 years. Currently, 10-12 million African youth join the labor force every year, for whom there are only 3 million formal jobs available, which means 7-9 million new African youth lack access to a stable source of income, equivalent to the population of New York City. By the same token, India will add 183 million people to the global labor force in that period (close to 6 million per year), and estimates suggest that there will be around 45 million missing jobs in India by 2030.

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Education is not the silver bullet. As the MENA region illustrates, improved educational attainment does not necessarily lead to improved labor market outcomes: across the region, decades of rising educational attainment have not been matched by increases in labor force participation. For example, an expansion of tertiary education in Tunisia led to nearly 70 percent unemployment rates among university graduates in 2013. The World Bank even dubbed this phenomenon the “MENA paradox,” highlighting a reduction in public sector jobs–mostly held by educated workers—which has not been offset by a sufficient increase in private sector jobs.

Years of evaluations have provided substantial insight on the impact of supply-side interventions, and unfortunately, the evidence is underwhelming. A 2017 literature review found that for every 100 people offered vocational training, fewer than three found an “additional” job (one they would not have otherwise found if they had not received the training). Additionally, these programs come at a very high cost: between approximately $17 thousand and $60 thousand per additional person employed. The same analysis found that out of ten programs helping match candidates to jobs, only one had a significant impact on employment (an increase in employment of 2.4 percentage points over three years).

However, these interventions are more likely to be successful when implemented by the private sector or coupled with demand-side initiatives, such as training talent for a nascent industry. As the paper concludes: “One set of alternative policies is to move away from interventions on the labor supply side and focus more on policies to help firms overcome the obstacles they face in innovating, growing, and creating more jobs.” For instance, interventions aimed at unlocking labor demand might spur entry of new firms—by catalyzing pioneer firms or attracting foreign direct investment in new industries —or accelerate the productivity and growth of existing firms by limiting regulatory burdens or supporting them on management practices and export facilitation .

Toward a Demand-Side Approach

We recently argued that development philanthropists should focus on the most powerful route to prosperity : productive employment in a thriving economy. One concrete way in which the development and philanthropic community can do so is to put job creation at the heart of their youth unemployment programs and ensuring that supply-side and demand-side interventions work in tandem. Some philanthropies are already doing so, albeit with a focus on the United States’ jobs challenge. The Kauffman Foundation , for example, has a stated focus on supporting the start and growth of new businesses that can create jobs, and has made investments to improve job creation policy. The Aspen Institute’s Economic Opportunities Program is another example, which is supporting thinking and collaborative initiatives around “good” job creation . Dating back many years, various other large foundations, such as Ford Foundation and Rockefeller Foundation, have endorsed and funded job creation initiatives.

Philanthropies working in global development should extend this job creation focus from the United States to their developing country portfolios. Again, the cupboard isn’t barren; there are examples to learn from and emulate. Big Win Philanthropy has funded initiatives around job creation for youth, in countries like Ethiopia and Côte d’Ivoire . Funders like the Rockefeller Foundation have pursued job creation programs in the past, in promising sectors such as business process outsourcing. This resonates with us in particular, as our own organization, Growth Teams, has facilitated the development of an outsourcing sector that will create thousands of good jobs in Rwanda.

While there is no easy answer for how to create more jobs in developing countries, various examples illustrate what progress on this front can do for countries as a whole. Singapore’s government under Lee Kuan Yew, for example, set out to build a modern economy by attracting labor-intensive foreign manufacturing that would create low-skilled jobs first, then shifting to more skill-intensive manufacturing and finally playing a leading role in the global knowledge economy. At all stages, the ability to put education at the service of economic growth by matching skills supply and demand was central to the country’s successful economic transformation.

Costa Rica offers another instructive example. By targeting foreign direct investment in services, the country was able to leverage growth in key parts of its economy to increase labor productivity and create new job opportunities for its population. Job creation not only happened directly through the multinational corporations setting foot in the country but also through local suppliers that grew after plugging into global value chains.

Addressing youth unemployment requires a balanced approach that recognizes the interplay between supply and demand in the labor market. These examples all underscore the importance of job creation in addressing this challenge. While supply-side interventions that focus on skills development are crucial, they must be complemented by demand-side initiatives that support the creation of jobs in which these skills can be used productively. Governments, bilateral and multilateral donor agencies, and philanthropists should strike a more even balance between supply-side and demand-side interventions. In doing so, they will enable more comprehensive and sustainable solutions to youth unemployment, thereby empowering young workers and fostering economic prosperity for future generations.

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Causes, Effects and Solutions to Youth Unemployment Problems in Nigeria

2013, Journal of Emerging Trends in Economics and Management Sciences

The purpose of this paper is to look into the causes, effects and solutions to youth unemployment problems in Nigeria. The rate at which unemployed graduates roam the street after the National Youth Service constitutes social malice to the country as a whole. The data for this paper was collected from secondary sources using descriptive approach of previous researches and analysis of scholars to gather empirical data. The findings revealed that unemployment in Nigeria among youths are caused by six major problems and six major effects which has created tension and hatred between the haves and have not, leading to communal clashes and the rise of such groups such as Boko Haram, Niger Delta Militant, armed robbery, prostitution and child trafficking constituting hiccups to security of lives and properties. Also, the findings revealed that unemployment in Nigeria increased from 21.1% in 2010 to 23.9% in 2011 with youth unemployment at over 50%. From 2011 to 2013 there is an increase of 16% unemployment growth rate in Nigeria. Significantly, the impact of this paper is that government should create labour market that work better for the youths employment and recommends that the government should invest heavily on education to enable the youth become self reliance instead of job seekers through skills development and training.

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The paper focuses attention on the persistent problem of unemployment and poverty among the youths, which is a serious phenomenon in Nigeria. It constitutes a problem not only for the youths themselves but to the overall social, political and economic structures of the country. By examining the condition of the youths, it indicates that there is no concrete attempt by the government to connect, organize and improve the dynamisms of its youths towards sustainable national development. Unemployed youths in the country have not only been neglected and left unattended but have been imposed by unemployment and poverty. This problem not only leads to their disempowerment but also creates a situation that influences them to involve in deviant behaviours such as crime, drug trafficking, prostitutions, internet scam, election rigging and other fraudulent activities. Youth unemployment and poverty threatened peace and national security which shows that the country needs to re-consolidate, educate, and be dedicated to youths by developing policies and programmes that address their problems. Therefore, the problems associated with youth unemployment and poverty in Nigeria include government failure to empower youths to sustain a living, high rate of crime, the rapid growth of ethnic militias and Boko Haram insurgency, youth involvement in political violence and drug trafficking. The solutions to the problem of youth unemployment and poverty in the country comprise of youth empowerment, employment creation, establishing well-articulated National youth policy, propagate moral reorientation, provide sporting and recreational services and train youths the philosophy of tolerance and hardworking.

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Abstract The scourge of youth unemployment in Nigeria is increasingly pervasive and gruesome, accelerating the rate of the socio-economic downturn. Majority of the Nigerian population live in abject poverty unable to cater for themselves as a result of joblessness which leads to frustration, crime and suicide. The objective of this study therefore, is to examine the current scenario of the increasing and devastating upsurge of unemployment and underemployment among youths in Nigeria. As a measure to proffer possible panacea, a way out of this regressive cycle of youth unemployment., secondary data were extracted from National Bureau of Statistic (NBS, 2015-2019), National Population Commission (NPC, 2015-2019), using descriptive approach of previous research publications and analysis of scholars to gather empirical data. The findings revealed that there exists disequilibrium between the growing rate of population and the demand for labour force in the labour market, not everyone who wants a job can get one. As a result of such socio-economic environment, Nigerian youths are trapped in a state of voluntary and involuntary unemployment leading to waste of human capital. Further findings identified the pivotal role played by the federal government in curbing the paralysis of youth unemployment and underemployment, as they are urged to do more in order to create an enabling environment that nurtures entrepreneurship and also invest heavily on educational, developmental training programmes to enable the youth become self reliance and creator of employment opportunities in the country Keywords: Youth employment, poverty, solution, crime, skills development, Nigeria

Attah Emmanuel

Unemployment remains one of the greatest problems Nigeria is facing today. This paper thus looks into the unemployment situation in Nigeria, types of unemployment, causes of unemployment in Nigeria and the social effect of unemployment. The paper examines library materials, journal publications, internet materials and other documented materials relevant to the subject matter. It is recommended that the government should put in place massive youth development programmes in all the states of the federation; The general school curriculum should be remodeled to inculcate technical skill acquisition which will help even secondary school graduates to have employable skills; Youth creativeness and entrepreneurial skills need to be encouraged by private organizations and government institutions; Government should make agriculture more attractive by providing and making available modernized tools and also encouraging youths into this direction. The paper concludes that in order to reduce une...

Williams Abomaye-Nimenibo PhD

Yemisi Lydia Olaleye

This paper examines the effects of youth unemployment on socioeconomic development in contemporary Nigeria. Youth unemployment in Nigeria is due to high population growth, lack of employable skills due to inappropriate school curricula, perception of policy makers amongst other factors. Youth unemployment can make youths become frustrated as they have to depend on their family for sustenance because they cannot cater for their own needs. The implication of this is that the crises facing contemporary African youths in socioeconomic sectors, like employment, education, and other institutions, are addressed by the government. One striking revelation from this paper is that unemployment affects youth psychologically which can have many short term and long term effects. This paper concludes that tackling the problem of youth unemployment will really do the country good as it will become a better place, safer place and a country filled with talented and confident young men and women. It is, therefore, recommended that youth should be encourage not to only relying on white collar jobs alone but they should be ready to learn vocational jobs such as motor mechanic, fashion designing, catering, soap making, etc. while they are in secondary school. This can be done after school or weekend.

Arts and Design Studies

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lawrence okwuosa

This article explores unemployment among the youths in Nigeria and its impact on peace and stability in the country. It draws data from National Bureau of statistics documents, books, journal articles, and other scholarly works. These were analyzed in order to re-evaluate the implication of unemployment among the youths in Nigeria and proffer solutions to the predicament. Findings revealed that the unemployment rate among the youths in Nigeria is high and worrisome despite the rich natural recourses in the country. It further indicates that youth unemployment is associated with high rate of violence and criminality in the country which have continued to jeopardize the peace and security of the nation. To reverse the trend of youth unemployment and ensure peace and security in Nigeria, the research suggests that the Nigerian government should set up more skill acquisition centres through effective entrepreneurship development, revitalize ailing industries, encourage agriculture, and ...

SOCIO-ECONOMIC EFFECTS AND UNEMPLOYMENT AMONG YOUTHS IN NIGERIA A CASE STUDY OF ZARIA LOCAL GOVERNMENT AREA

Abstract This study work is on unemployment and the socio-economic effects of among youths in Nigeria: A case study of Zaria Local Government Area in Kaduna State. The issue of unemployment in Nigeria is a tropical issue, which brought to lot of comments as regarding the damage it causes to the social life of citizens. The method used in this study is survey research design. In pursuance of the objectives of the study data were collected from one Hundred and Twenty (120) respondents from three (3) or wards. The data were collected by the use of questionnaire, the data analyzed were based on the one hundred and twenty (120) self administered questionnaire retrieved from the respondents. The three objectives of the study work were being highlighted, while three (3) research questions were presented, and three major findings were found in the study, the study recommended that: Government should make provision for social amenities to better the life of unemployed youths, both governments; and non-governmental organization should promote skilled acquisition among youths in order to make them self reliance to ensure effective socio-economic development among the youths in the area of research.

THE IMPACT OF YOUTH UNEMPLOYMENT ON SOCIO-ECONOMIC DEVELOPMENT IN BENUE STATE, NIGERIA

Kwaghga A O N D O A S E E R Lawrence

This study examined the phenomenon of youth unemployment, its prevalence and form, causes and effects on socio economic development in Benue State. Cross sectional study design was used while youths and adults constituted population of the study. Data were collected using questionnaire and key informant interviews. Structural and frictional youth unemployment was dominant among the people. The findings show that, the causes of youth unemployment in the study area include inability of government to effectively implement youth empowerment programmes, corruption by government officials and overpopulation. Others include improper socialization, decaying moral values, rapid urbanization, ignorance, lack of entrepreneurship skills, lack of industrialization, outdated school curriculum, untimely business policies and poor economic growth in the country. The effects of youth unemployment on socio economic development were found to include consistent violence, armed robbery, insecurity, political thuggery, prostitution, militancy, vandalism. Others include proliferation of arms, drug abuse, political instability, stress, frustration, depression, hostility, abduction, murder and election rigging which have collectively adversely affected socio economic development in Benue State. It recommended for technical, vocational and entrepreneurship education and effective economic policies to tackle the problem of youth unemployment in the area.

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Addressing the Youth Employment Challenge: Beyond the Skills Gap

Commentary by Nicole Goldin

Published September 15, 2014

For many young people, it’s back to school time; though too many millions are out of school altogether. Yet as global youth unemployment rates hit crisis levels, we recognize that even those in school are falling short in gaining the necessary skills to enter the increasingly competitive local and international workforce. Addressing the “soft” and “hard” skills gap with innovative and traditional workforce readiness is arguably seen as the prime solution and the top priority of both the public and private sectors.

Yet as important as education and skills acquisition is, understanding and meeting the youth employment challenge means recognizing that there is no single cause or solution. Indeed, it means addressing the skills gap. But, it should also mean a more dynamic approach that assesses and addresses other gaps that permeate both the supply and demand sides of the employment coin. This more comprehensive analytical and evaluative framework – a youth employment gap analysis - includes among others, matters related to wellbeing, youth and employer expectations, informational access, entrepreneurial sustainability, and policies and systems. Understanding and addressing the broader dynamics sustaining these gaps will require deeper analysis and greater engagement and alignment between public and private sector stakeholders, including business, government, educators, NGOs, and young people.

The Information Gap

Information gaps can have adverse effects on both employers and potential employees, and exacerbate the skills mismatch; youth may be unaware of employment opportunities suitable for their skill sets, while employers are unaware of the unique, innovative, and local potential workforce at hand. Greater access to information may not only bridge this fundamental market gap, but may also help to address the stigma and misconceptions youth and communities hold about certain employment opportunities and pathways.  In emerging economies, information gaps are often especially acute though, technology is increasingly helping alleviate these challenges, especially among youth. Souktel , for example, created a mobile-based job matching service where employers disseminate job opportunities through SMS messages, and potential employees are able to submit their CVs through simple SMS. 

The Entrepreneurship Gap

The continued constraint in securing a job is increasingly leading youth to be entrepreneurial.  Yet youth are challenged by limited access to necessary capital to begin and sustain enterprises.  On the supply side, the private sector is key in supporting incubation and engagement in innovative finance models, such as loan guarantees for youth-led enterprises.  And once SMEs are established, the public sector is a crucial force in facilitating the expansion of these small companies through policy and provision of an enabling business environment that pays attention to the unique needs of young business owners.  On the demand side, the private sector has enormous opportunity to support entry to local and global value chains to ensure entrepreneurial success and longevity.

The Policy and Systems Gap

Many of the most talked about interventions are programs that while necessary, are insufficient to scale.  The extent of the crisis needs comprehensive and integrated policies, institutions and systems that build human capital and strengthens skills, stimulates job creation, promotes youth employment, and supports decent work.  At the same time, it can be difficult to build consensus between multiple players with different motivations in the workforce and employment system.  For example, while governments might seek to build a more mobile workforce, the private sector may seek to promote specific skills acquisition through tailored training initiatives.

The Job Accessibility Gap

With job opportunities increasingly urban-based, inadequate or unsafe transportation infrastructure further compromises youths’ access to employment opportunities.  To fill this gap enterprising young people and thoughtful employers are providing transportation, shared ride platforms, or offering relocation support to help ensure that talented youth are not sidelined because they are unable to get to a work site.   Safer transport could also help to curb instances of traffic accidents and fatalities, the leading global cause of youth mortality.  Government incentives and shared investments with donors and the private sector could further boost business and job creation in more rural, agricultural, and inaccessible communities.

The Incentives and Expectations Gap

The gap between employer and young employees’ expectations, can also be problematic. The way in which the private sector manages its expectations of young employees, and youths’ expectations of their employers, are important but often overlooked considerations in workforce turnover.  Adjustments in employer expectations to recognize and utilize the skills that youth actually have, can help foster more inclusive and sustainable employment outcomes.  While young people may need to adjust their expectations for compensation, duties and level of authority as they build up their experience.  At the same time, negative perceptions associated with sectors with significant employment opportunities, such as agriculture and hospitality, may be an even more present challenge in societies where youth are particularly influenced by their parents’ beliefs and values. Employer incentives, and greater knowledge among young people and their families about career pathways, can be useful in drawing and sustaining youth interest in a broader set of jobs.

The Wellbeing Gap

It has been argued that employment outcomes are closely linked to other aspects of youth’s lives.  The inaugural Global Youth Wellbeing Index , released in April by the Center for Strategic and International Studies and the International Youth Foundation confirms this. Data analysis reveals that individual indicators within its economic opportunity sub-index, are correlated; and also affirm the connection between performance on education, health, safety and security, and information and communications technology indicators and success in employment and economic opportunity. Of the nearly 70% of the world’s youth represented in the Index, 85% were found to be living in countries with below average or low levels of composite wellbeing; pointing towards the need for more coordinated, integrated and cross-sectoral approaches.

Our collective prosperity and security rests to a large extent on the ability to harness the potential and productivity of today’s youth generation. Yes, we need to do more to ensure they are equipped with the skills and competencies that the job market demands.  But, we should not do this in a vacuum. If we neglect the broader set of constraints impacting youth employment, including and beyond those discussed here, success against this global challenge will continue to elude us. Nicole Goldin is a senior associate in the Project on Prosperity and Development at the Center for Strategic and International Studies in Washington D.C. Commentary  is produced by the Center for Strategic and International Studies (CSIS), a private, tax-exempt institution focusing on international public policy issues. Its research is nonpartisan and nonproprietary. CSIS does not take specific policy positions. Accordingly, all views, positions, and conclusions expressed in this publication should be understood to be solely those of the author(s). © 2014 by the Center for Strategic and International Studies. All rights reserved.

Nicole Goldin

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Urban youth unemployment: A looming crisis?

Subscribe to global connection, lex rieffel lex rieffel former brookings expert.

May 2, 2018

Unemployment is a growing challenge around the world, though it is not a full-blown crisis yet. However, when the crisis comes, it is likely to erupt among urban youth.

While heading off such a calamity will not be easy, the global benefits of doing so would be great. As productive and socially responsible adults, the youth of today and in years to come could make planet Earth a better place for all.

A quick survey of the literature makes it clear that there will be no simple or universal solutions to the challenge of urban youth unemployment. The factors producing it are different in each city and useful interventions have to be well tailored to the cultural context.

Youth are the prime unemployment concern globally because their numbers are growing in most countries and because they are more prone to violence than adults. They have less to lose. Harvard professor Samuel Huntington made the point bluntly in an interview with journalist Michael Steinberger in The Observer on October 21, 2001: “Generally speaking, the people who go out and kill other people are males between the ages of 16 and 30.”

The first major outbreaks of violence by unemployed youth are likely to occur in cities because of the rapid pace of urbanization everywhere. The expectations of people in rural areas seem too low and their dispersion too great to create a combustible moment.  Subsistence existence is normal there.

Fortunately, there are a number of counter currents. Demography may be the most important. Fertility is falling around the world. Women need to have 2.1 children on average to maintain a stable population size. After rising rapidly in the 20th century due to modern medicine and public health, fertility began falling below 2.1 in high-income countries in the 1970s and in the middle-income countries in the 1990s. Maybe fewer young people in the future will reduce the threat of social disorder.

According to World Population Prospects 2017 published by the United Nations, the mid-range forecast for global population in 2050 is 9.8 billion, up from 7.6 billion in 2015. Fertility in high-income countries is projected to remain below replacement level, stuck around 1.80 in 2050. Fertility in the upper middle-income countries will be only slightly higher at 1.82. For the lower middle-income countries, the largest of these four groups, fertility will be 2.25 in 2050, significantly down from 2.88 in 2015. It is the low-income countries, primarily in Africa, that have been and will continue to be the major source of global population growth, even as their fertility rate is projected to drop from 5.0 in 2015 to 3.08 in 2050. Despite this impressive fall, the population of this group of countries is on track to more than double from 600 million in 2015 to 1.4 billion in 2050.

It is possible that fertility will decline faster in the low-income and lower-middle income countries than the U.N. is projecting. As a result, combined with war and disease, the size of the global youth cohort, 15-24 years of age, could start shrinking by 2050. With continuing migration of youth from rural to urban areas, however, urban youth unemployment could be rising in these countries even as the number of youth is falling.

The other major cross current is that governments and the private sector are focused on creating more good jobs for youth. The leading sources of information and discussion about youth employment are the International Labor Organization based in Geneva, Switzerland, and the World Bank based in Washington, D.C. Both sources are promoting research on effective interventions and ways to scale these up.

Youth employment is also on the agenda of the G-20 Summit process, under the G-20’s Framework Working Group on the Future of Work (co-chaired by India and Canada). This week the ILO is convening the first global conference on “ Innovation for Decent Jobs for Youth .”

The extensive academic research on youth unemployment highlights the complexities of the global challenge. For example, the expectations and education of youth vary tremendously between high-income and low-income countries. At the same time, the capacity of governments to mount effective programs varies greatly. Furthermore, the interests of international nongovernmental organizations and multinational corporations do not always align with the countries of greatest need.

There is a thriving universe of programs seeking to prepare youth for employment through a variety of training and job market activities. Most governments in the world are supporting at least one form of a youth employment program, from volunteer service to tax benefits to matching employers with youth. A multitude of international and domestic NGOs are working in this space. One of the oldest is the International Youth Foundation based in Baltimore, Maryland. Leading multinational corporations have put youth employment at the center of their corporate social responsibility programs, including CitiGroup , the Conrad N. Hilton Foundation , Mastercard Foundation , and McKinsey & Company .

So far, however, assessments of these interventions have found few that have a major and sustained impact on employment, or can be scaled up easily, or can be replicated effectively in other cities.

A major complication is the pace of technological and social change. From one year to the next, the world has gone from seeing social media almost as a panacea to being a threat to civil order. The work place is changing before our eyes, with the gig economy growing while full-time, long-term employment with benefits is stagnant or shrinking.

Is enough being done to avoid an urban youth unemployment crisis before 2030, the benchmark year for the U.N.’s 17 Sustainable Development Goals? Goal 8 is especially relevant; it includes “ full and productive employment and decent work for all .”

What kinds of programs seem to have the potential for mitigating the risks of a crisis and can be scaled up or replicated across cities? Is it enough to focus on preparing youth for jobs or will it be necessary to tackle directly the potential for youth violence in cities and even redefine our visions of work?

An attempt will be made over the coming year to answer these questions in an effort to make sure that the global policy community is giving the challenge of urban youth employment the attention it deserves.

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Youth unemployment in Nigeria: nature, causes and solutions

• Published: 28 April 2022
• Volume 57 , pages 1125–1157, ( 2023 )

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• Olusanya E. Olubusoye   ORCID: orcid.org/0000-0001-8672-7822 1 , 2 ,
• Afees A. Salisu 2 &
• Sam O. Olofin 2  

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This study investigates the nature and causes of youth unemployment in Nigeria, with the aim of proffering evidence-based workable solutions as policy recommendation. Its contribution to the literature on youth unemployment is the joint examination of the nature and causes of youth unemployment, which gives a holistic view and provides sufficient background for designing holistic solutions to the problem of youth unemployment in Nigeria. The study employs a Vector Autoregressive (VAR) model. This describes the spillovers of youth employment among different sectors (Agriculture, Industry and Services) in Nigeria; thus, explains whether the nature of youth unemployment in Nigeria is frictional or not. The study also adopts Panel Autoregressive Distributed (PARDL) model to analyze the short-run and long-run significance of the determinants of youth unemployment, such output level, macroeconomic uncertainties and labour market flexibility. This helps to determine the main causes of youth unemployment in Nigeria and whether the youth unemployment is cyclical or structural in nature. The results suggest that the nature of youth unemployment in Nigeria is non-cyclical, partly frictional, but largely structural. This may explain why youth unemployment is increasing in Nigeria despite government remedial efforts; as government focused on frictional youth unemployment remedial policies and dispelled the potential of youth unemployment being structural in nature. The recommended solutions are fiscal and monetary policy easing and demand-side subsidy programme to dealing with structural youth unemployment. The study also shows the need to enforce relevant extant labour laws and regulations to stem the tide of youth unemployment and underemployment in Nigeria.

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Data availability

The data that support the findings of this study are openly available in the Central Bank on Nigeria (CBN) database at http://statistics.cbn.gov.ng/cbn-onlinestats/DataBrowser.aspx ; Fred Louis data base https://fred.stlouisfed.org/searchresults?st=Nigeria+Real+Exchange+Rate ; World Bank database at https://databank.worldbank.org/source/world-development-indicators and Fraser Institute at https://www.fraserinstitute.org/economic-freedom/dataset?geozone=world&page=dataset&min-year=2&max-year=0&filter=0

Unemployment, youth total (% of total labor force ages 15–24) (modeled ILO estimate)—Retrieved July 28, 2019.

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See https://www.bbc.com/pidgin/tori-46459641 .

See Premium Times, https://www.premiumtimesng.com/news/top-news/241160-nigeria-ranks-3rd-global-internet-crimes-behind-uk-u-s-ncc.html .

The panel ARDL model may also be referred to as non-stationary heterogeneous panels (see Li et al., 2016 ; Salisu and Isah, 2017 ).

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Acknowledgements

Comments from the Editor and three anonymous reviewers are gratefully acknowledged. The authors also acknowledge the intellectual contributions of Tirimisiyu F. Oloko, Ahamuefula E. Ogbonna, Idris A. Adediran and Kazeem O. Isah.

The authors wish to acknowledge the research support received from the Tertiary Education Trust Fund (TETFund) of the Nigerian Government, under the Research Fund (RF) Project (2019).

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Olubusoye, O.E., Salisu, A.A. & Olofin, S.O. Youth unemployment in Nigeria: nature, causes and solutions. Qual Quant 57 , 1125–1157 (2023). https://doi.org/10.1007/s11135-022-01388-8

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DOI : https://doi.org/10.1007/s11135-022-01388-8

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Home — Essay Samples — Economics — Unemployment — Unemployment: Causes, Effects, and Solutions

Unemployment: Causes, Effects, and Solutions

• Categories: Unemployment

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Published: Jan 30, 2024

Words: 685 | Pages: 2 | 4 min read

Table of contents

Introduction, causes of unemployment, effects of unemployment, solutions to combat unemployment, a. economic factors.

• Global recession: During economic downturns, companies may reduce employment to cut costs and remain competitive.
• Automation and technological advancements: The use of machines and technology may replace human workers in some industries, leading to job losses.
• Outsourcing of jobs: Companies may choose to outsource jobs to other countries where labor costs are lower, leaving domestic workers unemployed.

B. Societal Factors

• Lack of education and skills: Individuals without proper education and job training may be ill-equipped to meet the demands of a constantly evolving job market.
• Discrimination in hiring processes: Certain groups, such as women, minorities, and older workers, may face barriers in securing employment due to discrimination.
• Dependency on welfare programs: Some individuals may choose to remain on welfare programs due to a lack of incentive to enter the workforce or because they cannot find suitable employment.

A. Economic Effects

• Reduction in consumer spending: Without a steady income, unemployed individuals may have less money to spend, resulting in a decline in consumer spending.
• Decline in government revenue: With fewer people working, the government may see a decline in tax revenue, which can impact its ability to provide necessary services and promote economic growth.
• Increase in social welfare expenses: The government may need to allocate more funds toward social welfare programs, such as unemployment benefits and food assistance, to support those who are unemployed.

B. Social Effects

• Increase in crime rates: Individuals who are unemployed may resort to criminal activities to make ends meet, leading to a rise in crime rates.
• Mental health issues: Unemployment can cause stress, anxiety, and depression, which can negatively impact an individual's mental health.
• Strained relationships and family instability: Unemployment may cause financial strain and tension within families, leading to relationship problems and instability.

A. Economic Solutions

• Encouraging entrepreneurship and small business development: Providing resources and support for individuals to start their own businesses can lead to job creation and economic growth.
• Promoting vocational training and skill development programs: Ensuring that individuals have access to education and training programs can increase their job readiness and competitiveness in the job market.
• Implementing balanced trade policies: Creating policies that promote fair trade and reduce job outsourcing can protect domestic jobs and promote job growth.

B. Social Solutions

• Addressing educational disparities and providing access to quality education: Providing quality education to disadvantaged communities can improve their job readiness and reduce unemployment rates.
• Combating discrimination in the workplace: Enforcing anti-discrimination laws and promoting diversity and inclusion in the workplace can reduce barriers to employment for certain groups.
• Strengthening social safety net programs: Ensuring that social welfare programs are designed to incentivize work and provide support to those in need can promote economic stability and reduce poverty.
• Bureau of Labor Statistics. (2021, October 8). Employment Situation Summary. https://www.bls.gov/news.release/empsit.nr0.htm

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Unemployment Problem And Solution (Essay Sample) 2023

Unemployment problem and solution.