For release 10:00 a.m. (EDT) Wednesday, August 24, 2011 USDL-11-1246
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EMPLOYMENT AND UNEMPLOYMENT AMONG YOUTH -- SUMMER 2011
From April to July 2011, the number of employed youth 16 to 24 years old rose by 1.7
million to 18.6 million, the U.S. Bureau of Labor Statistics reported today. This year,
the share of young people who were employed in July was 48.8 percent, the lowest July
rate on record for the series, which began in 1948. (The month of July typically is
the summertime peak in youth employment.) Unemployment among youth increased by 745,000
between April and July, more than last year’s increase of 571,000, but well below the
levels seen in 2008 and 2009 (1.2 and 1.1 million, respectively). (Because this analysis
focuses on the seasonal changes in youth employment and unemployment that occur each
spring and summer, the data are not seasonally adjusted.)
Labor force
The youth labor force--16- to 24-year-olds working or actively looking for work--grows
sharply between April and July each year. During these months, large numbers of high
school and college students search for or take summer jobs, and many graduates enter
the labor market to look for or begin permanent employment. This summer, the youth
labor force grew by 2.4 million, or 11.8 percent, to a total of 22.7 million in July.
(See table 1.)
The labor force participation rate for all youth--the proportion of the population 16
to 24 years old working or looking for work--was 59.5 percent in July, the lowest July
rate on record. The July 2011 rate was down by 1.0 percentage point from July 2010 and
was 18.0 percentage points below the peak for that month in 1989 (77.5 percent).
The July 2011 labor force participation rate for 16- to 24-year-old men, at 61.4 percent,
fell by 1.3 percentage points from a year earlier. The rate for women, at 57.6 percent,
edged down over the year. For several decades prior to 1989, the July labor force
participation rate for young men showed no clear trend, ranging from 81 to 86 percent.
Since July 1989, however, their participation rate for the month declined, falling by
about 21 percentage points. The July labor force participation rate for young women
peaked in 1989 at 72.4 percent, following a long-term upward trend; their rate has
since fallen by about 15 percentage points.
The July 2011 labor force participation rate for Hispanic youth was 53.6 percent, down
by 2.5 percentage points over the year. The rate for whites decreased by 1.0 percentage
point to 62.2 percent. The participation rate for young blacks, at 50.2 percent, was
down slightly, while the rate for Asian youth (47.9 percent) was little different from
last year. (See table 2.)
Employment
In July 2011, 18.6 million 16- to 24-year-olds were employed, about the same as last
year. This summer's increase in youth employment--from April to July--was 1.7 million,
down slightly from last summer (1.8 million). The employment-population ratio for
youth--the proportion of the 16- to 24-year-old civilian noninstitutional population
that was employed--was 48.8 percent in July, a record low for the series, though only
marginally lower than in July 2010. (See table 2.)
In July 2011, the employment-population ratios were little changed from a year earlier
for all major demographic groups--young men (50.2 percent), women (47.3 percent),
whites (52.3 percent), blacks (34.6 percent), Asians (40.5 percent), and Hispanics
(42.9 percent).
Twenty-six percent of employed youth worked in the leisure and hospitality sector (which
includes food services), about the same as in July 2010. Another 21 percent were employed
in the retail trade industry, also about the same proportion as last year. (See table 3.)
Unemployment
The number of unemployed youth in July 2011 was 4.1 million, down from 4.4 million a
year ago. The youth unemployment rate declined by 1.0 percentage point over the year to
18.1 percent in July 2011, after hitting a record high for July in 2010. Among major
demographic groups, unemployment rates were lower than a year earlier for young men
(18.3 percent) and Asians (15.3 percent), while jobless rates were little changed for
young women (17.8 percent), whites (15.9 percent), blacks (31.0 percent), and Hispanics
(20.1 percent). (See table 2.)