The National Bureau of Statistics announced Monday, August 15, a new record unemployment rate for those aged 16-24. According to the survey, youth unemployment climbed from 19.3% last month in June to 19.9%.
As Caixin reported, Fu Linghui, a spokesperson for NBS, cited the slow recovery of the service industry, hampered by COVID, and a record 10.76 million students expected to enter the job market around July and August this year as reasons for the high youth unemployment.
According to Bloomberg, authorities have fallen into a vicious circle of self-cancellation. On the one hand, they have introduced various measures to stimulate the economy. However, the “Zero” epidemic prevention policy creates more difficulties and weakens the economy. This also impacts youth unemployment.
Amid increasing youth unemployment, job numbers are gaining increasing attention. Top authorities downplay the nation’s gross domestic product growth goal. The downplaying also threatens the stability the Communist Party wants to have in time to prepare for the 20th National Congress later this year. The major congress will likely re-elect Xi Jinping to an unprecedented third term.
According to China Caixin.com, Lu Feng, an economics professor at the National School of Development of Peking University, also pointed out at a seminar held by the National School of Development of Peking University on May 18 that the youth unemployment rate in China exceeds that of Europe and the United States.