For release 10:00 a.m. (ET) Tuesday, August 18, 2020 		                            USDL-20-1587

Technical information:	 cpsinfo@bls.gov  *  www.bls.gov/cps
Media contact:		 (202) 691-5902  *  PressOffice@bls.gov


			EMPLOYMENT AND UNEMPLOYMENT AMONG YOUTH -- SUMMER 2020


From April to July 2020, the number of employed youth 16 to 24 years old increased by 4.4 million
to 17.5 million, the U.S. Bureau of Labor Statistics reported today. In July 2020, 46.7 percent
of young people were employed, down from 56.2 percent in July 2019. (The month of July typically
is the summertime peak in youth employment.) The unemployment rate for youth was 18.5 percent in
July 2020, down from 26.9 percent in April but still about twice as high as a year earlier. 
(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.)
 
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|                    Coronavirus (COVID-19) Pandemic Impact on the Labor Market			   |
|												   |
|                        									   |
| The coronavirus (COVID-19) pandemic and efforts to contain it have had a dramatic effect on the  |
| labor market in recent months. Employment fell and unemployment rose sharply in March and April. |
| Despite 3 months of improvements in the labor market, the share of the population age 16 and     |
| over employed in July was much lower than in February. The jobless rate and the number of        |
| unemployed people were considerably higher in July than in February. The changes have been       |
| widespread across all demographic groups, including youth. April represented the peak            |
| unemployment rate and the lowest employment recorded during the pandemic, both overall and       |
| among youth. Employment declines were particularly steep in leisure and hospitality, a sector    |
| that traditionally employs a large share of youth.  						   |
|												   |
| The annual summer employment and unemployment among youth news release compares labor market     |
| estimates from April, when many young people are enrolled in school, to July, when typically     |
| more are working or seeking employment. For 2020, the comparison of April to July youth labor    |
| market data reflects the seasonal trend of increased youth labor force participation over the    |
| period, the employment losses this past spring due to the coronavirus pandemic and efforts to    |
| contain it, and the employment gains from the partial resumption of economic activity through    |
| July.											           |
|												   |
| More information on labor market developments and the impact of the pandemic on labor force      |
| estimates in recent months is available at 							   |
| www.bls.gov/covid19/employment-situation-covid19-faq-july-2020.htm.				   |
|__________________________________________________________________________________________________|

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 typically 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 3.6 million,
or 19.8 percent, to a total of 21.5 million in July. The youth labor force, however, was 1.8
million less than in July 2019, reflecting the impact of the coronavirus pandemic. (See 
tables 1 and 2.)

The labor force participation rate for all youth was 57.3 percent in July 2020, a decrease of
4.5 percentage points from a year earlier. (The labor force participation rate is the proportion
of the civilian noninstitutional population that is employed or unemployed. To be classified
as unemployed, a person must either be looking and available for work or on temporary layoff.)
This year, the July labor force participation rate for people age 16 to 24 was the lowest rate
for July in the history of the series, which goes back to 1948.

The July 2020 labor force participation rate for 16- to 24-year-old men, at 58.4 percent, was down
4.8 percentage points over the year. Over the same period the rate for young women declined by 4.2
percentage points to 56.2 percent. Continuing a long-standing pattern, Whites had the highest youth
labor force participation rate in July 2020, at 59.4 percent. The rate for Blacks was 52.5 percent,
for Asians 42.9 percent, and for Hispanics 54.4 percent. Over the year, the labor force
participation rate fell for all race and ethnicity groups.

Employment

In July 2020, there were 17.5 million employed 16- to 24-year-olds. Between April and July, the
number of employed youth rose by 4.4 million, or 33.5 percent. This was the largest April to
July employment change among youth in the history of the series, which goes back to 1948. The
change, however, reflected both the seasonal pattern of youth finding employment at the 
conclusion of the school year and the continued resumption of economic activity in July
following the deep coronavirus pandemic-related contraction in employment in April. Despite the
April to July increase in the number of employed youth, there were fewer youth employed in July
than in February 2020, before the pandemic crisis unfolded in many parts of the United States.
The employment-population ratio for youth--the proportion of the 16- to 24-year-old civilian
noninstitutional population with a job--was 46.7 percent in July 2020, a decrease of 9.5
percentage points from the prior year. (See tables 1 and 2.)

Employment-population ratios in July 2020 were lower than they were a year earlier for young men
(47.7 percent), women (45.8 percent), Whites (49.5 percent), Blacks (39.2 percent), Asians
(32.0 percent), and Hispanics (42.6 percent). For these groups, the employment-population
ratios were between 8.7 and 10.6 percentage points lower than in July 2019.

In July 2020, the largest percentage of employed youth worked in the leisure and hospitality 
industry (24 percent), which includes food services. The leisure and hospitality industry was
particularly affected by coronavirus pandemic-related job losses. Youth employment in this 
industry was down by 1.1 million, or 21 percent, compared to July 2019. An additional 20 percent
of employed youth worked in the retail trade industry, and 11 percent worked in educational and
health services. (See table 3.)

Unemployment

Typically, the number of unemployed young people increases between April and July, as people who
were not in the labor force while attending school begin seeking employment. However, this year
unemployment increased sharply in April because of the coronavirus pandemic. The number of 
unemployed youth rose from 1.7 million in February to 4.9 million in May, and declined to 4.0 
million in July. In July 2020, there were 1.9 million more unemployed 16- to 24-year-olds than 
in July 2019. About two-thirds of the unemployed youth in July 2020 were looking for full-time 
work, a similar percentage to a year earlier. (See tables 1 and 2.)

The youth unemployment rate spiked to 26.9 percent in April 2020 and declined to 18.5 percent
in July. This rate is still about twice as high as in July 2019 and is the highest July rate
since 2010. The July 2020 unemployment rates for young men (18.4 percent), women (18.6 percent),
Whites (16.7 percent), Blacks (25.4 percent), Asians (25.4 percent), and Hispanics (21.7 
percent) were all substantially higher than in the prior summer.

Technical Note


   The estimates in this release were obtained from the Current Population Survey (CPS),
a national sample survey of about 60,000 eligible households conducted monthly for the
Bureau of Labor Statistics (BLS) by the U.S. Census Bureau. The data in this release
relate to the employment status of youth (16- to 24-year-olds) during the months of
April-July. This period was selected as being the most representative time frame in
which to measure the full summertime transition from school to work. July is the peak
summer month of youth employment.

   Beginning in January of each year, data reflect revised population controls used in
the CPS. Additional information about population controls is available on the BLS
website at www.bls.gov/cps/documentation.htm#pop.

   Information in this release will be made available to sensory impaired individuals
upon request. Voice phone: (202) 691-5200; Federal Relay Service: (800) 877-8339.

Reliability of the estimates

   Statistics based on the CPS are subject to both sampling and nonsampling error. When
a sample, rather than the entire population, is surveyed, there is a chance that the
sample estimates may differ from the true population values they represent. The component
of this difference that occurs because samples differ by chance is known as sampling
error, and its variability is measured by the standard error of the estimate. There is
about a 90-percent chance, or level of confidence, that an estimate based on a sample
will differ by no more than 1.6 standard errors from the true population value because
of sampling error. BLS analyses are generally conducted at the 90-percent level of
confidence.

   The CPS data also are affected by nonsampling error. Nonsampling error can occur for
many reasons, including the failure to sample a segment of the population, inability to
obtain information for all respondents in the sample, inability or unwillingness of
respondents to provide correct information, and errors made in the collection or
processing of the data.

   More information on the reliability of data from the CPS and estimating standard errors
is available online at www.bls.gov/cps/documentation.htm#reliability.

Definitions

   The principal definitions used in this release are described briefly below.

   Employed. Employed persons are all those who, during the survey reference week (which
is generally the week including the 12th day of the month), (a) did any work at all as
paid employees; (b) worked in their own business, profession, or on their own farm;
(c) worked 15 hours or more as unpaid workers in a family member's business. Persons who
were temporarily absent from their jobs because of illness, bad weather, vacation, labor
dispute, or another reason also are counted as employed.

   Unemployed. The unemployed are those who had no employment during the reference week,
were available for work at that time, and had made specific efforts to find employment
sometime during the 4-week period ending with the reference week. Persons who were waiting
to be recalled to a job from which they had been laid off need not have been looking for
work to be classified as unemployed. Looking for full-time work refers to 35 hours or more
per week; part-time work refers to fewer than 35 hours per week.

   Civilian labor force. This group comprises all persons classified as employed or
unemployed.

   Unemployment rate. The unemployment rate is the number of unemployed persons as a
percent of the civilian labor force.

   Labor force participation rate. The labor force participation rate is the labor force
as a percent of the population.

   Employment-population ratio. The employment-population ratio is the employed as a
percent of the population.

   Not in the labor force. Included in this group are all persons in the civilian
noninstitutional population who are neither employed nor unemployed.

   Industry and class of worker. This information applies to the job held during the
reference week. Persons with two or more jobs are classified in the job at which they
worked the greatest number of hours. Beginning with data for 2020, persons are classified
using the 2017 Census industry classification system. The class-of-worker breakdown 
assigns workers to the following categories: Private and government wage and salary 
workers, unincorporated self-employed workers, and unpaid family workers.

   Wage and salary workers. Included in this group are persons who receive wages, salary,
commissions, tips, or pay in kind from a private employer or from a government entity.

   Self-employed workers. Included in this group are those who work for profit or fees
in their own unincorporated business, profession, trade, or farm. Only unincorporated
self-employed are included in the self-employed category. Self-employed persons whose
businesses are incorporated are included with private wage and salary workers.

   Unpaid family workers. Included in this group are persons working without pay for
15 hours a week or more on a farm or in a business operated by a family member in their
household.