China resumed the publication of youth unemployment data on Wednesday, revealing that the unemployment rate among those aged 16 to 24 was 14.9% in December, marking a historic high.
This data excludes students currently in school, meaning these young individuals are those genuinely in need of employment. The figure reflects the significant pressure China faces in terms of employment, especially with a record-breaking 11.79 million university graduates entering the job market this year.
China’s youth unemployment rate has been on the rise since 2020, reaching its peak of 21.3% in June 2023. Subsequently, the National Bureau of Statistics suspended the release of this data, citing the need for “further improvement and optimization” in labor force survey statistics.
During this period, China’s economy faced multiple challenges, including recurring outbreaks of the COVID-19 pandemic, intensifying energy crises, and the burst of the real estate bubble, leading to slowed economic growth. In the fourth quarter, GDP grew only by 5.2%, below the expected 5.4%.
China has consistently prioritized employment as a focal point of economic and social development. It has implemented a series of policy measures, such as expanding employment services, increasing employment subsidies, and encouraging entrepreneurship and innovation, to promote employment stability and growth.
Simultaneously, China is pushing for economic structural adjustments and transformation by nurturing new growth points and driving forces, such as the digital economy, green economy, and sharing economy, to enhance economic quality and efficiency.
However, the effectiveness of these measures in alleviating the employment challenges faced by Chinese youth remains to be seen. On one hand, young individuals in China encounter increasingly fierce competition for limited positions, not only competing with peers but also with more experienced middle-aged and older individuals.
On the other hand, there is a significant gap between the employment expectations and the actual situation for Chinese youth. Many aspire to secure well-paying, well-benefited, and high-quality jobs, which often require high skills, qualifications, and innovation – qualities that are relatively scarce in China.