Key facts about youth employment

  • The percentage of youth who are employed has been increasing since the Great Recession, although employment rates are still not as high as they were in 2006, for youth both in and out of school.
  • Among youth ages 16–24, not currently enrolled in school, those with higher levels of education have higher employment rates.
  • The employment rate for youth with disabilities, ages 20–24, is about half that of their peers without disabilities (35 and 66 percent, respectively).

Trends in youth employment

As of October 2017, 51 percent of all youth ages 16–24 were employed, either full- or part-time. Youth enrolled in high school had an employment rate of 20 percent, while the rate was 47 percent for those in college, either full- or part-time.

Those not enrolled in school had an employment rate of 72 percent. Conversely, 28 percent of this group was not employed, down from a peak of 37.5 percent in 2009 (Appendix 1). However, only 9 percent of youth not enrolled in school (in 2017) were considered unemployed; another 20 percent were not in the labor force.[1]

From 1993 to 2000, employment among youth in all groups generally increased slightly, followed by a decrease from 2000 to 2003. At that point, employment rates held steady until 2006, when they again began to decline. After a steep drop in 2008 and 2009, youth employment for those youth not enrolled in school has since gone up, from 63 to 72 percent from 2009 to 2017. Employment among high school students has increased only slightly since 2009 (from 16 to 20 percent) and has remained fairly steady for college students over that time period. While the rate of employment for white and Asian college students followed the general pattern (rising slightly after 2009 without fully rebounding), employment for black college students followed a different pattern (increasing after 2009, and surpassing its 2007 level in 2015, before declining slightly by 2017). Employment among Hispanic students reached its highest level since 2007 in 2017, at 51 percent (Appendix 1).

The circumstances of youth employment have changed over the past couple of decades. During the Great Recession, conditions reduced employment prospects for both students and others. Among today’s students, there may be greater pressure and competition for academic achievement. Furthermore, college enrollment rates have been rising since 2001. With real wages for this age group falling in recent years, workers may be motivated to enhance their earning power by acquiring further education.[2]

A 2015 survey of young workers (ages 18–30), conducted by the Federal Reserve, provides additional insights. Among those respondents who were currently working, only 45 percent were in a job that was closely related to their field of study. One factor here may be inadequate job counseling: 34 percent reported that they had received no information about jobs or careers while in high school. There is also significant mismatch in employment, with 25 percent of respondents saying they are overqualified for their current job.[3]

Working youth (ages 16–18) who lack a high school diploma and are not enrolled in school may be an important subgroup to reach with programs intended to boost economic self-sufficiency. As a group, they are disproportionately male, Hispanic, and not living with their parents. They are less likely to be engaged with federally sponsored safety-net programs. Nevertheless, more than one-third of these youth contribute at least 20 percent to their households’ annual income.[4]

Differences by gender

In October 2017, 22 percent of females enrolled in high school were employed, compared with 17 percent of males. College-enrolled women also had a higher employment rate than their male counterparts: 49 percent compared with 44 percent. However, among youth not enrolled in school, males had a higher employment rate (75 percent) than females (69 percent) (Appendix 1).

Differences by race and Hispanic origin*

In 2017, among youth enrolled in high school, white students had the highest employment rate (21 percent), followed by black and Hispanic students (16 and 14 percent, respectively), and Asian students (8 percent). Among youth enrolled in college, employment was highest among Hispanic students (51 percent), although white students had a similar rate (50 percent). Black students had lower rates of employment (42 percent), and Asian students had the lowest (31 percent). Among youth (ages 16–24) not enrolled in school, white youth had the highest employment rates (74 percent), followed by Asian, Hispanic, and black youth (68, 67, and 66 percent, respectively).

*Hispanic youth may be of any race. Estimates for white, black, and Asian youth include Hispanic youth.

Differences by educational attainment

The education a person receives affects their employment status; in addition, the gender gap in employment rates narrows with higher levels of education. In 2017, among youth (ages 16–24) not enrolled in school who did not graduate from high school, 47 percent were employed, either full- or part-time. The employment rate for high school graduates with no college attainment was 70 percent; for those with some college or an associate degree, 81 percent; and for those with a bachelor’s degree or higher, 87 percent.

Among those who had not graduated from high school, the employment rate gap between males and females was 14 percentage points (53 percent for males and 39 percent for females). For high school graduates, the gap was 12 percentage points (75 versus 63 percent). For those with some college, the gap was 5 percentage points, and for those with a bachelor’s degree or more, it was just 1 percentage point (84 versus 79, and 86 versus 87 percent, respectively). The pattern of difference between males and females is slightly more consistent when looking at unemployment rather than employment rates.[5]

Differences by disability status

Employment rates for youth with disabilities are about half those of youth without disabilities, for both the 16–19 age group (16 and 30 percent, respectively) and the 20–24 age group (35 and 66 percent, respectively). Youth with disabilities saw a larger reduction in employment rates following the Great Recession than youth without disabilities. From 2009 to 2011, employment rates for youth with disabilities decreased from 18 to 12 percent for ages 16–19 and from 35 to 30 percent for ages 20–24, while employment rates for youth without disabilities fell only from 29 to 26 percent for ages 16–19 and 63 to 62 percent for ages 20–24. While employment rates for youth without disabilities recovered from 2009 levels between 2014 and 2015, rates for youth with disabilities have still not fully recovered.

Other estimates

State and local estimates

State-by-state figures for unemployed teens (ages 16–19), from 2008 through 2016, are available at the KIDS COUNT Data Center: http://datacenter.kidscount.org/data/tables/5051-unemployed-teens-age-16-to-19?loc=1&loct=1.

International estimates

Estimated global youth employment (the employment-to-population ratio, ages 15–24) declined from 55 percent in 1998 to 51 percent in 2008. More information is available at: http://unworldyouthreport.org/media/pdfs/WYR2011.pdf.

The Youth Civic Engagement report also has information on youth employment and gender disparities: http://www.unworldyouthreport.org/images/docs/un_world_youth_report_youth_civic_engagement.pdf.

How to increase youth employment

Because the evidence for the value of employment for students (particularly high school students) is mixed—particularly when long work hours are involved—this review is restricted to those programs and strategies aimed primarily at out-of-school youth.

 

  • The following information is drawn from Heinrich, C. J., & Holzer H. J. (2010). Improving education and employment for disadvantaged young men: Proven and promising strategies (Discussion Paper No. 1374-10). Madison, WI: University of Wisconsin, Institute for Research on Poverty.
    • Career academies (CAs) are a form of career and technical education where students interested in a particular career take courses together and supplement their classroom education with summer and year-round employment. In an evaluation of CAs, participants had significantly higher monthly earnings, months worked, hours worked per week, and hourly wages than the control group.
    • The Youth Opportunity Program offers comprehensive services to both in-school and out-of-school youth to encourage schooling and employment. Participation in this program was associated with gains in overall employment, along with higher wages, especially among minorities and teens.
    • The Job Corps program includes a residential component, in which youth receive intensive vocational training along with other life skills. Participants in the program saw improved earnings, mostly from older young adults ages 20–24.
    • Career and technical education (CTE), formerly known as vocational education, has the potential to improve students’ post-school employment outcomes. By law, “secondary-level CTE programs that receive federal funds must … demonstrate that they teach academic skills while simultaneously preparing youth for and adult learners to enter pathways to high-skill, high-paid, or high-demand occupations.”[6] Some studies show that students who take CTE courses are more likely to fulfill academic requirements, be in the labor force, and have higher earnings, relative to those who had just academic coursework.[7]
    • “Sectoral employment” programs have been shown to increase the likelihood of employment, and to lead to higher wages and jobs that offer benefits. For more information on sector-focused training, see this report from Public/Private Ventures: http://www.issuelab.org/resource/tuning_in_to_local_labor_markets_findings_from_the_sectoral_employment_impact_study.

Also see:

 

Data and appendices

Data sources

Disability data: U.S. Department of Labor, Bureau of Labor Statistics. (2010–2017). Persons with a disability: Labor force characteristics news release. Retrieved from https://www.bls.gov/news.release/disabl.htm.

All other data: U.S. Department of Labor, Bureau of Labor Statistics. (1994–2018). College enrollment and work activity of high school graduates. Retrieved from http://www.bls.gov/schedule/archives/all_nr.htm#HSGEC.

Raw data source

U.S. Census Bureau, Current Population Survey.

http://www.census.gov/cps/

http://www.bls.gov/cps/

Appendices

Appendix 1

Appendix 2

Background

Definition

The Bureau of Labor Statistics defines employment as any paid work by anyone over age 16. Those who are jobless, available for work, and actively looking for jobs are classified as unemployed. Youth employment/unemployment refers to ages 16–24. Some youth are neither employed nor unemployed: e.g., those in the armed forces, those enrolled in school and not looking for work, parents taking care of young children exclusively, and “discouraged workers.”

Endnotes

[1] U.S. Department of Labor, Bureau of Labor Statistics. (2018). College enrollment and work activity of high school and college graduates: 2017. Washington, DC: Author. Retrieved from https://www.bls.gov/news.release/pdf/hsgec.pdf.

[2] Brainard, L. (2015). Coming of age in the Great Recession. Speech at the Ninth Biennial Federal Reserve System Community Development Research Conference, Washington, DC, April 2, 2015. Retrieved from https://www.federalreserve.gov/newsevents/speech/brainard20150402a.pdf

[3] Board of Governors of the Federal Reserve System. (2016). Experiences and perspectives of young workers. Washington, DC: Author. Retrieved from https://www.federalreserve.gov/econresdata/2015-experiences-and-perspectives-of-young-workers-201612.pdf

[4] Scott, M. M., Zhang, S., & Koball, H. (2015). Dropping out and clocking in: A portrait of teens who leave school early and work. Washington, DC: Urban Institute. Retrieved from http://www.urban.org/sites/default/files/alfresco/publication-pdfs/2000189-Dropping-Out-and-Clocking-In.pdf

[5] U.S. Department of Labor, Bureau of Labor Statistics. (2018). Op. cit.

[6] National Research Center for Career and Technical Education. (2007). Major research findings 2000-2007: Engagement, achievement, and transition. Atlanta, GA: Author. Retrieved from http://www.nrccte.org/resources/publications/major-research-findings-2000-2007-engagement-achievement-and-transition

[7] Association for Career and Technical Education. (undated). Research demonstrates the value of career and technical education [Fact sheet]. Alexandria, VA: Author.