Report 54 employment

Youth Employment in the Pandemic

COVID-19 has brought about rapid economic downturn and unemployment everywhere. The number of unemployed people in Hong Kong aged 15-34 reached 106,900 in 2020 Q3, a new high since SARS in 2003. How can youth adapt?

The estimated total loss of working hours around the world in 2020 Q2 was 17.3% compared to 2019 Q4, equivalent to 495 million full-time jobs, according to the International Labour Organization. This crisis is likely to continue into 2021. The younger and older age cohorts of the working population, as well as those in informal employment, have been hit particularly hard.

Key points from respondents ● 18-24-year-olds are more likely than older respondents to worry about accumulating work or professional experience ● 81.8% believe new industries will emerge ● 77.3% say demand for new knowledge and skills will increase ● 71.7% think overall vacancies will decrease ● 66.0% agree that adapting to new demands in the market is necessary ● 55.6% say they do not know what occupations they should switch to ● 55.0% encountered employment problems ● 53.3% say they lack knowledge and skills to switch occupations ● 39.7% think the situation could be worse post-pandemic than pre-pandemic Interviews show that informal workers and those with no full-time work experience are the hardest-hit groups. More experienced workers are reluctant to switch occupations because of loss of status and lower pay. Furthermore, the global pandemic and problems in international politics have caused instability in demand. Companies need to alter business models and manpower policies rapidly but job training mechanisms in Hong Kong respond too slowly. Nevertheless, opportunities for young people do exist, especially in areas that are still recruiting, such as technology and medicine, or where there are shortages, such as in elderly care and construction. Comments from Youth I.D.E.A.S. think tank members Denis Huen, group convenor “The government could encourage more employment opportunities by providing tax breaks for enterprises that offer more part-time or half-time jobs. For people reluctant to switch occupations, youth service agencies could introduce a diversified local working holiday scheme that provides job experience in industries or occupations unfamiliar to participants. They could see this as a gap year with career counselling and work-related skills training in preparation for the next career stage.”

Peter Lau, group member “The government should speed up economic restructuring. It should introduce an employee training scheme in which programmes are proposed by the business sector to meet new demands for manpower quickly. The companies proposing the programmes would employ people who had completed training. In addition, the government should offer trainee programmes for university graduates to help them gain work experience.”

Report No.54 HKFYG Youth I.D.E.A.S. Employment and Economic Development group Published title Opportunities for Youth Employment Amid the Pandemic Respondents 600 18-34-year-olds who had left school were polled and 20 youth in the same age group who had encountered employment problems during the pandemic were interviewed. More details in Chinese yrc.hkfyg.org.hk/2020/11/02/yi054/ Enquiries Amy Yuen 3755 7037