Investing in the future must involve a strong focus on supporting youth. Securing decent work not only ensures better futures but also alleviates concerns about job security, promotes gender equality, and contributes to social inclusion and peace. This is particularly vital for young people, who will make up a fifth of the global population by 2030. Following the 2008 global financial crisis, companies took key steps to tackle youth unemployment, and they continue to play a crucial role in providing training and job opportunities.
Although the global labour market is gradually improving for young people after the COVID-19 pandemic, companies must continue to create decent work opportunities for young workers. Currently, global unemployment for individuals aged 16 to 24 is 13%, the lowest rate recorded in over 15 years. While this trend is positive, certain regions such as East Asia, Southeast Asia, and the Pacific, along with the Arab States and North Africa, still face high and rising youth unemployment. Addressing these disparities will require coordinated efforts to ensure that young people, who will represent 20% of the global population by 2030, can access secure employment that fosters inclusion, gender equality, and stability.
Presently, 20% of young people are neither employed nor engaged in education or training, with young women making up two-thirds of this group. Without significant change, gender parity in youth employment is unlikely to be achieved before the next century. Many young workers, particularly in low-income countries, lack social protection and remain trapped in insecure, temporary jobs. In such regions, only one in four young workers are likely to have stable employment, compared to three in four in high-income countries. Ensuring decent work for youth is essential for a sustainable future, and companies must invest in creating opportunities for advancement.
Educational attainment has improved among young people, yet many economies still struggle to create enough high-skilled jobs to match the growing number of tertiary graduates. In some regions, there has been a noticeable decline in job quality relative to education levels. Youth-targeted labour market programmes focused on skills training, entrepreneurship, and soft skills development can improve outcomes, while corporate-led initiatives have also demonstrated their potential to enhance young people's economic prospects.
For example, following the 2008 financial crisis, Europe faced high youth unemployment rates. In response, Nestlé launched the "Nestlé Needs YOUth" programme, committing to hiring 10,000 young people and providing 10,000 apprenticeships by the end of 2013. This led to the creation of the "Alliance for YOUth" to mobilise other companies and tackle youth unemployment across Europe. The Alliance expanded globally in 2019, offering young people job opportunities, skill development, and entrepreneurial support.
During the COVID-19 pandemic, youth employment dropped significantly, and young people's mental health and wellbeing deteriorated. Despite these challenges, the Alliance continued its work, offering 300,000 first jobs, apprenticeships, and traineeships across Europe, the Middle East, and North Africa. Nestlé also hosted the first Pacific Alliance Youth Summit, focusing on the economic and social integration of young people impacted by the pandemic.
Investing in youth and securing decent work aligns with several UN Sustainable Development Goals (SDGs), particularly SDG 8 – Decent Work and Economic Growth, and SDG 5 – Gender Equality. Ensuring that young people have access to secure employment opportunities not only fosters economic stability but also promotes greater gender parity and long-term social inclusion.