Report

2015-05-28

Southern Africa Labour and Development Research Unit

University of Cape Town

The problem of high youth unemployment is a global phenomenon. According to an International Labour Office study in 2004, youth (15-24) make up nearly half (47%) of the world"s unemployed, 88 million out of 186 million, even though youth are only 25% of the world"s working age population. Of the world"s 550 million working poor who cannot lift themselves above US $1 per day poverty measure, 150 million are youth. The ILO estimated in 2004 that halving global youth unemployment would increase global GDP by US $2.2 trillion, 4% of global GDP. These statistics lend weight to the notion that youth unemployment is a problem worthy of attention. In addition, one may argue that addressing unemployment in general would also lower poverty levels and add to GDP (World Bank 2006).