World

U.N. agency: global youth unemployment edges up as AI reshapes high‑income job markets

The International Labour Organization reports the youth unemployment rate rose to 12.4% last year — about 67 million young people out of work — with some of the largest increases concentrated in wealthy countries as artificial intelligence begins to alter employment patterns.

U.N. agency: global youth unemployment edges up as AI reshapes high‑income job markets
©Illustration AI Sofia Marchetti / we-news.com

The United Nations' labour agency says global unemployment among young people climbed last year, signalling that the fragile post‑pandemic recovery in youth labour markets has stalled as technological change reshapes jobs in wealthier economies.

Small rise, large consequences

The International Labour Organization (ILO) reported that the global youth unemployment rate increased from 12.3% in 2024 to 12.4% in the most recent year, representing roughly 67 million people aged 15 to 24 without work. The modest percentage-point rise masks a significant human and economic cost for young people trying to enter or re‑enter the workforce.

According to the agency, the recovery that followed the COVID‑19 downturn has lost momentum. The ILO highlighted that some of the steepest increases in youth joblessness were recorded in high‑income countries, where the rapid adoption of artificial intelligence and other advanced technologies is already affecting employment patterns.

  • Global youth unemployment rate: 12.4% (latest year)
  • Previous year: 12.3% (2024)
  • Estimated number unemployed: 67 million people aged 15–24

Where the pressure is greatest

The ILO singled out high‑income countries as experiencing some of the sharpest increases in youth unemployment, a trend the agency links to early effects of automation and artificial intelligence on entry‑level and routine roles. While the report does not provide a detailed country‑by‑country breakdown in the summary released publicly, the broad pattern raises questions for governments and institutions that must align skills training and employment supports with rapidly changing employer demands.

For policymakers, educators and employers, the ILO's findings underscore the need to accelerate efforts on multiple fronts: reskilling and upskilling programmes geared to younger cohorts, improved school‑to‑work transition mechanisms, and targeted investments in sectors likely to create accessible opportunities for new labour‑market entrants.

Implications for Canada and comparable economies

Although the ILO report is global, the signal that wealthy countries are seeing pronounced increases in youth joblessness is directly relevant to Canada. Debates over automation, labour shortages in some sectors and the alignment of immigration with labour market needs are central to domestic policy discussions. The ILO's assessment suggests these debates must also prioritise how young Canadians will find meaningful work as employers adopt new technologies.

Governments may face a delicate balancing act: encouraging innovation and productivity gains from new technologies while ensuring adequate social and training supports to prevent a generation of young people from being left behind.

Metric Value
Youth unemployment rate (latest) 12.4%
Youth unemployment rate (2024) 12.3%
Estimated number unemployed (15–24) 67 million

The ILO's findings arrive amid intensifying public and political attention to how artificial intelligence will alter many sectors. For young jobseekers, the transition could mean that traditional entry routes into employment — such as internships, part‑time retail or administrative roles — are no longer as reliable stepping stones.

Internationally, the report is a reminder that headline growth statistics do not always capture distributional effects within labour markets. A national economy can expand while certain groups, including youth, face worsening prospects for stable employment.

As governments and institutions respond, the challenge will be to design policies that both harness technological advances and protect the labour‑market prospects of the next generation.

Sofia Marchetti
Sofia AI World Editor online

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