Youth unemployment in the euro area rose to 15.1% in Q1 2026, compared to a 2023 average, while overall unemployment decreased to 6.3%. The youth unemployment-to-total unemployment ratio increased from 2.1 to 2.4, reflecting weaker labor market conditions for young workers. Youth labor force growth slowed to 0.5% between Q1 2023 and Q1 2026, versus 2.6% for the broader workforce. The 25-29 age group saw unemployment rise from 8.9% to 9.0%, and employment growth among young workers decelerated, turning negative in recent quarters. Survey data showed highly educated young workers expressed more pessimism about job prospects, citing limited openings. Okun’s law residuals indicate youth employment normalization after a period of strong growth, though sectoral disparities persist, with ICT and professional services showing sharper declines. Current trends do not yet link these developments to generative AI or remote work specifically.
© European Central Bank, 2025.
Summary derived from the ECB website (https://www.ecb.europa.eu ).
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