How did the 2008 global financial crisis impact the rate of people
designated as Neither Employed nor in Education or Training? The Financial (Finchannel.com,
February 1, 2016) says there are still millions of NEETs across Europe and in
the United States.
During and after the 2008 global financial crisis (GFC) the NEET rates rose
in both the US and in the EU – with the rates spiking highest in the United
States, but also improving (i.e. declining) faster than in Europe. Many EU
countries still have NEET rates higher than pre-GFC.
In America in 2015 there were nearly 10.2 million NEETs aged between 16-29
(16.9% of that age bracket), according to the Pew Research Center, analyzing
Bureau of Labor statistics. It is a modest decline from 2013 (11 million NEETs
representing 18.5% of the 16-29 age group). Corresponding age group data isn’t
available, but for the 16-24 age group, there were 19.5% of NEETs in 1985, with
14.3% in 2000, 14.5% in 2007, 17.6% in 2010, and 15.7% in 2015.
Of the 16-29 year old NEETs in America in 2015, 57% were female and 47%
were male. There were 22% young black NEETs against 16% young whites and 20%
young Hispanics.
In the European Union member countries, Eurostat reported the NEET rates
for 15-29 year olds. In 2014 (2015 statistics are not available) 13.4 million
were NEETs, representing 15.4%. Of these 55% were female and 45% were male. The
highest rates of NEETs were in Greece (26.7%) and Italy (26.2%) with the lowest
rates in Denmark (7.3%) and Luxembourg (6.5%).
In Germany the NEET rate peaked in 2005 and has gradually declined. In
Italy the NEET rate has been rising since 2008 and is still rising. In France
the NEET rate has been stable from 2000-2014.
Social and labour economists are paying close attention to the rate of people,
especially youth, who are Neither Employed nor in Education or Training. Without
government or private assistance, economically inactive young people can’t gain
job skills to integrate into the wider economy or to achieve their earning and
learning potential. And NEET rates across American and Europe remain
persistently high.
MARTINA NICOLLS is the author of:- The
Shortness of Life: A Mongolian Lament (2015), Liberia’s Deadest Ends (2012),
Bardot’s Comet (2011), Kashmir on a Knife-Edge (2010) and The Sudan Curse
(2009).
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