1. Young workers and the recession Italy and the UK Barbara Grandi Malcolm Sargeant 1

2. Comparative issues (1) Employment rateItalyUK Age 15-6458.771.5 15-2424.452.4 Gender (15-24) Male29.153.8 Female19.451.0 2

3. Comparative issues (2) -Informal economy -Geographical divide 3

4. Demographic shifts 1.The proportion of the young rises 2.The proportion of the young declines and that of the older population increases, especially adults 25-64 3.The proportion of adults (25-64) falls whilst that of the older population increases 4

5. Youth unemployment In developed and some emerging economies, the crisis impact on youth is felt mainly in terms of unemployment and the social hazards associated with joblessness and prolonged inactivity. Numerous studies show how entering labour markets during recession can leave permanent scars on the generation of youth affected and, recently, fears have been expressed regarding a possible crisis legacy of a “lost generation” made up of young people who detach themselves from the labour market altogether. 5

6. EU Overall, young people account for one fifth (21.3%) of the total increase in unemployment since 2008, although youth unemployment as a share of total unemployment decreased slightly from around 25% in 2008 to just below 24% in January 2010. The marked increase in the youth unemployment rate since spring 2008 has been driven mainly by a very sharp rise in the rate for young men, who account for more than two thirds of the increase in youth unemployment since then. 6

7. Italy -Geographical differences -Informal economy 7

8. Italy: employment rate (%) Year 15-64 15-24 25-34 2007 58.6524.770.1 2008 58.6724.470.1 2009 57.5521.767.5 2010 (July) 57.0020.565.9 8

9. Italy: unemployment rate (%) YearLabour force15-24 20076.1620.35 20086.7521.53 20097.7925.40 2010 (July)8.4727.71 9

10. Italy: long term unemployment 200720082009 South Italy South Italy South Italy 15-24 16.1 8.116.27.9 18.4 10.0 25-348.3 3.89.03.99.64.5 35-544.02.04.52.34.62.6 55+1.81.12.01.52.01.5 Total5.92.86.43.06.63.4 10

11. Unemployment rates by level of education (%) 15-2425-34 35 years + Primary School32.417.08.8 Secondary School27.212.36.8 Higher Education 2-3 years 22.99.15.1 Higher Education 4-5 years24.29.03.8 Tertiary education 26.69.02.2 Total25.411.55.0 11

12. UK: employment rate 18-2425-34 35-4950-6465+ 2008 63.580.3 82.465.57.2 2009 59.577.9 81.165.17.8 2010 59.078.7 81.164.98.6 12

13. UK: unemployment rates 18-24 25-34 35-49 50-64 65+ 2008 13.25.3 3.8 3.3 2.3 2009 17.58.0 5.4 4.7 2.6 2010 17.77.3 5.6 4.8 2.3 13

14. UK: long term unemployed 18-2425-4950+ 200820.028.436.9 200922.026.731.5 201028.037.142.7 14

15. Italy/UK (1) Unemployment rates of young people (15-24) (%)200020042008 EU2717.318.415.4 Italy27.023.521.3 UK12.212.115.0 15

16. Italy/UK (2) Unemployment rate of young people during the recession (%) 20092010 EU2720.320.2 Italy25.026.8 UK19.619.7 16

17. Detriment (1) At the same time, 11 per cent said that there were some ages which counted against applicants and three per cent said some ages counted in favour of applicants. Those most often disadvantaged were the young and the old, with those over 60 (and, especially those over 65) and those under 22 (and, especially, those under 18) most likely to find recruiters holding their age against them. 17

18. Detriment (2) Case C-88/08David Hütter v Technische Universität Graz Case C-555/07 Seda Kücükdeveci v Swedex GnbH & Co. KG 18

19. Detriment (3) -Apprenticeships -Minimum wages 19