Crime rates will soar, economies will stagnate and Europe's
social fabric will deteriorate if policymakers do not act to address youth
unemployment, World Economic Forum report warns
A lost generation of jobless youth in the eurozone could tear the single currency apart if nothing is done to address chronic levels of unemployment, the World Economic Forum (WEF) has warned.
“There is a growing consensus on the fact that unless we address chronic joblessness we will see an escalation in social unrest,” said S. D. Shibulal , chief executive oof Infosys, who contributed to the WEF's Global Agenda Report.
“People, particularly the youth, need to be productively employed, or we will witness rising crime rates, stagnating economies and the deterioration of our social fabric,” he added.
John Lipsky, who served as acting managing director of the International Monetary Fund during the height of the Greek crisis in 2011, said the problem was likely to get worse before it got better.
He told the Telegraph: "Right now it’s hard to see any decisive move back the other way at a time in which everyone feels their circumstances are under threat and are worried about their economic future."
Telegraph
A lost generation of jobless youth in the eurozone could tear the single currency apart if nothing is done to address chronic levels of unemployment, the World Economic Forum (WEF) has warned.
“There is a growing consensus on the fact that unless we address chronic joblessness we will see an escalation in social unrest,” said S. D. Shibulal , chief executive oof Infosys, who contributed to the WEF's Global Agenda Report.
“People, particularly the youth, need to be productively employed, or we will witness rising crime rates, stagnating economies and the deterioration of our social fabric,” he added.
John Lipsky, who served as acting managing director of the International Monetary Fund during the height of the Greek crisis in 2011, said the problem was likely to get worse before it got better.
He told the Telegraph: "Right now it’s hard to see any decisive move back the other way at a time in which everyone feels their circumstances are under threat and are worried about their economic future."
Telegraph
Training schemes are laudable, but there is a disconnect between what young people learn and what employers want
Youth unemployment could wreck Europe's economic recovery
The financial crisis of 2008 devastated national economies around the world. We are still recovering. But the spotlight is only now beginning to shine on one issue that could fracture national economies again – the youth unemployment crisis. Many 15- to 24-year-olds are struggling to find jobs, to further their education and to cope with a new world order in which they perceive they have no role.
In the US, youth unemployment hovers around 16%. But the average in Europe is 22.6% (Germany is the notable exception at 7.9%). Even in Hong Kong, which is often assumed to be one of the most dynamic economies in the world, the youth jobless rate stands at 11.6%. If we remove students from the equation in the EU, the overall unemployment number decreases to 8.7%. Still, those students face bleak employment conditions upon leaving education.
Guardian
