UN report finds global youth unemployment rising again, with 67 million jobless

The global youth jobs recovery that followed the COVID-19 pandemic has stalled, with unemployment among young people rising and artificial intelligence adding new uncertainty to an already difficult labor market, according to a report released Tuesday by the United Nations' International Labour Organization.

The ILO's Global Employment Trends for Youth 2026 report found that the youth unemployment rate rose from 12.3 percent in 2024 to 12.4 percent in 2025, leaving approximately 67 million people aged 15 to 24 without jobs. The share of young people not in employment, education or training — known as the NEET rate — also increased slightly to 20 percent, affecting more than 257 million people worldwide.news.un+3

"A generation that cannot find decent work cannot build its future with confidence," ILO Director-General Gilbert F. Houngbo said. "When young people are locked out of quality employment, countries lose talent, productivity and social cohesion."news.un

High-Income Countries Hit Hardest

Some of the steepest increases in youth unemployment were recorded in higher-income countries. North America saw its youth unemployment rate climb from 8.3 percent in 2023 to 9.8 percent in 2025, while Northern, Southern and Western Europe posted a combined rate of 15 percent. The Arab States and Northern Africa continued to record the world's highest youth unemployment rates at 26.2 and 22.6 percent, respectively.firstpost+2

Overall, youth unemployment worsened or stayed flat in eight of 11 global subregions between 2023 and 2025, with 105 countries seeing rates rise compared to only 58 where they fell.news.un

Sara Elder, head of the ILO's employment analysis and economic policy unit, told a press conference that when the youth unemployment rate and the NEET rate "rise together, we raise the red flag."japantimes

AI Adds New Pressure on Entry-Level Jobs

The report identified the rapid spread of artificial intelligence as an emerging risk for young workers. The ILO estimated that 6.1 percent of jobs held by people aged 15 to 29 are in occupations highly exposed to AI-related changes, primarily clerical and administrative roles that have traditionally served as entry points into the workforce.firstpost+1

Sukti Dasgupta, director of the ILO's employment, skills and sustainable enterprises department, said it was too soon to establish direct causality between AI and rising youth unemployment but acknowledged "the coincidence is quite real," calling for more research.straitstimes+1

The ILO projects the youth unemployment rate will flatline at 12.3 percent in 2026 and 2027. The agency recommended investing in quality education, strengthening employment services, expanding social protections and adopting a human-centered approach to AI governance.news.un+1