The onset of the debt crisis of Euro had taken a severe toll on countries from Greece to Ireland. As the crisis completes its 6th year,there is a whole set of population in these countries finding it a great struggle to survive.
The fact is that one in six people aged between 20 and 24 is still living for the day, they have come to belong to the category now called NEET – Not in Employment, Education or Training. There are 5 million people that fit this bracket across the 28-nation European Union, according to fresh Eurostat data.
Apart from this NEET category, the problem isn’t only that they are currently without a job.
Guntram Wolff, director of the Brussels-based policy group Bruegel, observes that they face a permanent disadvantage on the labor market. They will never be as productive as people who have a normal start.
Countries that are already facing the consequence of a severe economic crisis will feel the long-term impact of high youth unemployment on their economy in the next 20 to 30 years.
Especially, youth unemployment is a particular burden in countries across the Mediterranean region. In Italy, more than 30 percent of the 20 to 24-year-olds were left last year outside work or school, an increase of almost 10 percentage points from 2006. In Greece, the share climbed to 26 percent.
While countries in Europe’s core fare better, their challenges are similar: Joblessness among young Germans or Dutch also exceeds the average rate for the entire working population.
Did you subscribe for our daily newsletter?
It’s Free! Click here to Subscribe!
Source: Bloomberg
