65 million youth unemployed: 3 ways we can tackle the unemployment crisis and build a resilient workforce

I was recently in South Africa on a partner mission with UNICEF. I met a young man, Keagan, who told me he had two choices in life – “pick up a book or pick up a gun”. It is not an easy time for young people starting their careers. Globally, nearly 65 million youth are unemployed.

The pandemic impacted young people hardest – as the last ones in, they were the first ones out. Since COVID-19, youth unemployment rates remain 3.5 times higher than those of adults and we are still recovering the employment deficit.

The Global South, especially Sub-Saharan Africa which is expected to account for 90% of the growth of the world’s working-age population, is particularly affected. For every 11 young African entering the workforce, there are just three new jobs created.

Artificial intelligence (AI) is not making matters any easier. While we anticipate AI to displace 83 million jobs, it is also expected to create 69 million new jobs by 2027, presenting a unique opportunity for youth to embrace emerging career paths and develop the skills needed for a rapidly evolving job market.

So how can we motivate the next generation of talent and create opportunities for those who have none? Through entrepreneurship, skills training and impact work.

Supporting entrepreneurship has a ripple effect. “By showing young people they are capable of creating jobs for themselves and economic livelihoods for other people, through entrepreneurship, you can change the world,” says Asheesh Advani, CEO of nonprofit youth organization JA Worldwide.

“If you reach young people at the time of their life when they’re deciding who they are and who they can become, it’s actually incredibly impactful.”

At Goodwall, in partnership with UNICEF and Generation Unlimited (Gen U), we asked aspiring entrepreneurs to propose innovative solutions to limit plastic pollution in their communities as part of the Green Challenge Nigeria.

In Kaduna, in rural Nigeria, an entrepreneur named Rayyanatu took note of all the plastic bags peppering the streets in her community and kickstarted a business recycling discarded nylon into products such as bags, mats, shoes and baskets.

“Environmental pollution is happening more and more in my community," says Rayyanatu. "I want to make a huge and real difference in people’s lives by making our environment a better and special place.”

She received a microgrant as part of her prize for winning the Goodwall and UNICEF competition and today that business is thriving. Not only is Rayyanatu earning a better livelihood, she’s also cleaning up her community. As her experience highlights:

Similarly, the Green Youth Force is an association of passionate young volunteers from Burundi dedicated to environmental protection, particularly soil health and climate change. Founded by Billy Kercy Mperabahizi, and supported by Goodwall, the organization has developed a business plan and programs aimed at creating sustainable employment for the community while making a lasting impact.

According to UNESCO, still less than 38% of youth benefit from a higher education, For most youth, especially in developing economies, there are opportunity costs with many having to prioritize putting food on the table at the expense of further education.

This raises the question: how can we create equitable incentives for youth from all walks of life enabling them to learn and strengthen their skills?

Scholarships are the traditional way to incentivize education – either as money you receive to put towards your skills training or as a reward for learners upon their training’s completion (i.e. a reverse-micro-scholarship).

As highlighted in the World Economic Forum’s Putting Skills-First: A Framework for Action report, in Singapore, where citizens are offered scholarships for upskilling, there has been a 50% participation rate in such programmes and a surge in positive performances from trainees within the workplace.

Meanwhile in Switzerland, 90% of youth earn an education or apprenticeship certificate, meaning there is a lower level of youth unemployment. Swiss youth are encouraged to combine on-the-job training in a host company with lessons at a vocational school.

Later, while undertaking their apprenticeship, youth receive a modest salary for their work. Upon completion, they have gained valuable skills and direct access to the labour market, effectively creating a highly skilled, very employable workforce.

Inspired by this model, alongside partners like Gen U, SAP and Accenture, we are creating online experiential learning gamified challenges for young talent to learn by doing and strengthen their skills, while still earning.

“Young people are leading change in their communities and around the world they are our greatest hope. We must ensure they have the skills they need to thrive,” says Kevin Frey, CEO of Generation Unlimited, a public-private-youth partnership to skill 1.8 billion young people.

We are shifting towards a skills-based economy, where the focus is on whether a person has the right skills and competencies for a particular role, rather than having the right degree, job history or previous job titles.

In this new world of work, it is critical for young people to acquire future-ready skills like problem-solving, creativity and collaboration. The World Economic Forum's Reskilling Revolution and the Future Skills Alliance are providing a platform for this transformation, empowering the next generation with the tools they need to excel in tomorrow's job market.

Our planet is in crisis. We could mobilize youth around the world to take meaningful climate action in exchange for incentives. Think of it as a universal basic income in exchange for positive societal contributions.

Recently, we at Goodwall ran an experiment, to recycle PET bottles, snap a picture to prove it and earn accordingly. Within days, the campaign broke records of thousands of kilos of rubbish collected and beaches cleaned, and even more importantly, participants honed skills like teamwork and environmental awareness, while inspiring their communities.

We are now exploring scaling this initiative alongside companies like Circle, leveraging their programmable wallets to automate micropayments for completed incentivized impact actions.

"It has become increasingly clear that people will only be able to flourish if we can create a more equitable planet. Utilizing open-source technology to support climate-positive behaviours is a win for our planet, representing a significant step toward future-proofing our society," says Sanja Kon, VP, Europe at Circle.

Promoting and supporting climate-positive behaviours is a win for our planet, a win for our societies, and a win for our youth.

Addressing youth unemployment requires a multi-pronged creative approach going beyond just creating new jobs, including fostering entrepreneurship, incentivizing upskilling and rewarding positive behaviours. It is a collective responsibility involving governments, businesses, educational institutions and young people.

By harnessing the potential of youth and young people, we can not only tackle the current employment crisis, but also pave the way for a more dynamic and resilient global economy.

While young talent entering the workforce do not have the most promising prospects, I am optimistic because this generation has resilience and grit. Youth are hungry, they are creative, and they are problem solvers, and they deserve better. We owe it to them to be proactive, innovative and inclusive.