Youth unemployment in the United States has remained consistently higher than the overall national unemployment rate, even during periods of strong labor market recovery.

The chart compares annual average unemployment rates between workers ages 16 to 24 and the broader U.S. labor force from 2015 through 2025.

While unemployment declined for both groups after the pandemic shock, younger workers continued to face significantly higher joblessness across nearly every year in the dataset.

The Pandemic Hit Young Workers Hardest

Youth unemployment peaked sharply in 2020 at approximately 15.3%.

That was nearly double the overall unemployment rate of around 8.1% during the same year.

The spike reflected how heavily pandemic layoffs affected industries that employ large numbers of younger workers, including restaurants, retail, hospitality, and customer-facing service jobs.

Many entry-level positions disappeared almost overnight during the shutdown period.

Youth Unemployment Stayed Elevated

Even after the labor market recovered, unemployment among younger workers remained structurally higher than the national average.

By 2025, unemployment for workers ages 16 to 24 stood near 10.0%, compared with roughly 4.3% overall.

That represents a gap of about 5.7 percentage points.

The difference highlights how younger workers continue to face more unstable employment conditions, even during relatively healthy economic periods.

The Overall Labor Market Recovered Faster

The broader unemployment rate fell rapidly after the pandemic shock.

National unemployment dropped from approximately 8.1% in 2020 to around 3.7% by 2022 and 2023 before rising modestly afterward.

That recovery reflected strong hiring demand across healthcare, logistics, professional services, and other sectors.

However, younger workers did not experience the same degree of labor market stability.

Their unemployment rate remained elevated even as the overall economy improved.

Why Younger Workers Face Higher Unemployment

Several structural factors contribute to persistently higher youth unemployment.

Younger workers are more likely to hold part-time jobs, temporary positions, or entry-level roles that are easier for employers to cut during economic slowdowns.

Many also have less work experience, smaller professional networks, and fewer specialized skills compared with older workers.

In addition, industries with high youth employment often experience greater seasonal volatility and faster turnover.

That combination makes unemployment among younger workers more sensitive to economic disruptions.

What This Means for Young Workers

The chart suggests that headline unemployment numbers do not fully capture labor market conditions for younger Americans.

Even when the broader economy appears strong, younger workers often continue facing higher competition, unstable schedules, and weaker job security.

At the same time, periods of strong hiring can still create opportunities for workers entering the labor force, especially in sectors facing staffing shortages.

The long-term trend reinforces the importance of early career experience, skill development, and adaptability in an increasingly competitive labor market.

Dataset

Data Sources

Federal Reserve Bank of St. Louis (FRED). (2026). Civilian Unemployment Rate (UNRATE). https://fred.stlouisfed.org/series/UNRATE

Federal Reserve Bank of St. Louis (FRED). (2026). Unemployment Rate for Ages 16–24 (LNS14024887). https://fred.stlouisfed.org/series/LNS14024887

U.S. Bureau of Labor Statistics. (2026). Labor Force Statistics from the Current Population Survey. https://www.bls.gov/cps/

U.S. Bureau of Labor Statistics. (2026). Employment Situation News Release. https://www.bls.gov/news.release/empsit.nr0.htm