Urgent intervention needed to curtail high youth unemployment

Youth unemployment could skyrocket if urgent action isn’t taken to connect young people with jobs, Melbourne academics warn.

Youth unemployment was typically higher in Melbourne’s outer west according to the 2016 Census.

Melbourne is facing a youth unemployment crisis that could damage the economy and hinder the next generation’s career prospects, experts warn.

Melbourne University’s Brendan Churchill, a sociologist and postdoctoral research fellow, said urgent action was needed by all levels of government and the private sector to help school leavers find work as Victoria emerged from the coronavirus crisis.

“In short, it’s getting tougher out there for young people and they need more support,” Dr Churchill said.

“The government needs to do something here because young people are tomorrow’s future workforce and they’re tomorrow’s taxpayers.”

Monash University Professor of globalisation leadership and policy Lucas Walsh said the pandemic had exacerbated pre-existing, nationwide labour market issues.

The growing casualisation of the workforce, particularly in industries that employed young people such as retail and hospitality, meant young people were more vulnerable to job insecurity, he said.

This meant when the pandemic hit they were among the first to be let go.

To make matters worse, he said many were ineligible for financial aid through government programs such as JobKeeper that required recipients to be employed for at least a year to qualify for payments.

Youth who couldn’t find work or access financial help in turn often found it difficult to complete their studies, apply for jobs or attend interviews, which affected their long-term career prospects, he said.

“A lot of this is common sense, if you don’t have money you can’t buy the suit … you don’t have money to buy the laptop,” Prof Walsh said.

Dr Churchill said increased government funding to help students cope with living costs would help make higher education more accessible, particularly for those from low socio-economic areas.

Australia’s 2016 Census showed youth unemployment was typically higher in the city’s disadvantaged outer west compared with the wider metropolitan Melbourne area.

Brimbank and Wyndham had high youth unemployment rates at 19.2 and 18.9 per cent compared with most east and south east suburbs.

Greater Melbourne’s youth unemployment rate was 15.9 per cent, according to the figures.

Dr Churchill said better work experience placements needed to be offered to connect students with jobs, particularly in today’s challenging job market.

He called on the private sector to provide more meaningful, ongoing work opportunities instead of unpaid or low-paid short-term internships.

And he said a national, co-ordinated response was needed to tackle rising youth unemployment rather than leaving it up to young people to sort it out themselves.

“It’s so easy to draw on this myth that Millennials are lazy … it’s just not true,” Dr Churchill said.

“I think young people do have something to be annoyed about. They’ve done what the government and their parents have said, they’re going to get an education, but they’re not getting the return on that.”

But while the unemployment figures looked dire, Prof Walsh said school leavers shouldn’t feel discouraged if they didn’t immediately land a job.

It was important to remember a lot of people were in the same boat as the economy recovered from the pandemic, and he urged anyone who felt particularly anxious or depressed about their situation to seek mental health help.

“On the whole, young people who do undertake further studying and training do better in life,” he said.

“We are a prosperous nation, so there are possibilities out there.”

Youth unemployment by LGA — people aged 15-24

Census 2016

Source: id.com.au

Brimbank

Unemployment rate: 10.4 per cent

Youth unemployment: 19.2 per cent

Wyndham

Unemployment rate: 8.2 per cent

Youth unemployment: 18.9 per cent

Maribyrnong

Unemployment rate: 8.3 per cent

Youth unemployment: 18.6 per cent

Hobsons Bay

Unemployment rate: 6.5 per cent

Youth unemployment: 14.9 per cent

Melton

Unemployment rate: 7.6 per cent

Youth unemployment: 17.1 per cent

Moonee Valley

NO DATA

Bayside

Unemployment rate: 4.6 per cent

Youth unemployment: 12.2 per cent

Mornington

Unemployment rate: 4.9 per cent

Youth unemployment: 10.4 per cent

Casey

Unemployment rate: 7.9 per cent

Youth unemployment: 16.8 per cent

Monash

Unemployment rate: 8 per cent

Youth unemployment: 19.8 per cent

Dandenong

Unemployment rate: 10.3 per cent

Youth unemployment: no data

Glen Eira

Unemployment rate: 5.8 per cent

Youth unemployment: 15.4 per cent

Port Phillip

Unemployment rate: 5.1 per cent

Youth unemployment: 11.4 per cent

Kingston

Unemployment rate: 5.4 per cent

Youth unemployment: 13.1 per cent

Frankston

Unemployment rate: 6.4 per cent

Youth unemployment: 13.9 per cent

Knox

Unemployment rate: 5.6 per cent

Youth unemployment: 12.9 per cent

Yarra Ranges

Unemployment rate: 4.6 per cent

Youth unemployment: 11.6 per cent

Maroondah

Unemployment rate: 5.2 per cent

Youth unemployment: 12.1 per cent

Manningham

Unemployment rate: 6.1 per cent

Youth unemployment: 15.1 per cent

Stonnington

Unemployment rate: 5.2 per cent

Youth unemployment: 12.7 per cent

Whittlesea

Unemployment rate: 7.2 per cent

Youth unemployment: 16.4 per cent

Whitehorse

Unemployment rate: 7 per cent

Youth unemployment: 17.3 per cent

Boroondara

Unemployment rate: 5.6 per cent

Youth unemployment: 13.2 per cent

Cardinia

Unemployment rate: 5.5 per cent

Youth unemployment: 12.8 per cent

Greater Melbourne

Unemployment rate: 6.8 per cent

Youth unemployment: 15.9 per cent