Global youth unemployment rises to 12.4% as recovery stalls: ILO report
The International Labour Organization (ILO) has released its 'Global Employment Trends for Youth 2026: Back to the Future' report, stating that the recovery in youth labour markets following the COVID-19 pandemic has stalled. The report, published on August 12, 2026, in Geneva, attributes this to slowing global economic growth, reduced job creation, geopolitical tensions, and rapid technological change, which are making the transition from education to decent work increasingly difficult for young people.
According to the report, the global unemployment rate for individuals aged 15 to 24 reached 12.4% in 2025, equivalent to 67 million unemployed young people worldwide. This marks an increase of 0.1 percentage points from the lowest level recorded in over two decades, seen in 2023. Additionally, the share of young people not in employment, education, or training (NEET) has risen to 20% in 2025, up from 19.7% in 2023. This represents an increase of nine million young people in NEET status since 2023, bringing the total to 257 million in 2025. The report notes that the rising NEET rate is particularly concerning because youth disengagement becomes harder to address over time.
The report highlights that youth unemployment rates rose in eight of the 11 subregions analysed between 2023 and 2025. The largest increases were observed in Northern Africa, Northern America, and Northern, Southern, and Western Europe. In Central and Western Asia, Eastern Europe, and upper-middle-income countries, declines in youth unemployment were offset by rising NEET rates. The report also underscores persistent gender disparities, noting that young men continue to have an advantage in labour market entry. In 2025, more than two out of every three young people in NEET status were women, with a NEET rate of 27.4% for young women compared to 13.1% for young men.
ILO Director-General Gilbert F. Houngbo emphasised the broader implications of the findings: "When young people are locked out of quality employment, countries lose talent, productivity, and social cohesion. Creating decent jobs for young people is not just a social imperative; it is one of the smartest investments a country can make." He added that a generation unable to find decent work cannot build its future with confidence.
In developing economies, the challenge remains creating sufficient decent jobs to absorb growing young populations. The report notes that low unemployment rates in some countries may conceal widespread labour market insecurity, as many young people cannot afford to remain unemployed and instead enter informal or unstable work.
The report also draws attention to the impact of technological change, stating that 6.1% of jobs held by young people aged 15 to 29 are in occupations highly exposed to AI-related changes. Sukti Dasgupta, ILO Director of the Employment, Skills, and Sustainable Enterprises Department, said, "Technological progress, including AI, must work for young people, not against them." The report calls for renewed action to help young people navigate an increasingly uncertain world of work, recommending a human-centred approach to AI governance, investment in quality education, lifelong learning, apprenticeships, and strengthening employment services and labour market institutions. It places particular emphasis on supporting young women.
