For release 10:00 a.m. (EDT) Wednesday, August 24, 2011                     USDL-11-1246

Technical information: (202) 691-6378  *  cpsinfo@bls.gov  *  www.bls.gov/cps
Media contact:         (202) 691-5902  *  PressOffice@bls.gov


              EMPLOYMENT AND UNEMPLOYMENT AMONG YOUTH -- SUMMER 2011


From April to July 2011, the number of employed youth 16 to 24 years old rose by 1.7
million to 18.6 million, the U.S. Bureau of Labor Statistics reported today. This year,
the share of young people who were employed in July was 48.8 percent, the lowest July
rate on record for the series, which began in 1948. (The month of July typically is
the summertime peak in youth employment.) Unemployment among youth increased by 745,000
between April and July, more than last year’s increase of 571,000, but well below the
levels seen in 2008 and 2009 (1.2 and 1.1 million, respectively). (Because this analysis
focuses on the seasonal changes in youth employment and unemployment that occur each
spring and summer, the data are not seasonally adjusted.)

Labor force

The youth labor force--16- to 24-year-olds working or actively looking for work--grows
sharply between April and July each year. During these months, large numbers of high
school and college students search for or take summer jobs, and many graduates enter
the labor market to look for or begin permanent employment. This summer, the youth
labor force grew by 2.4 million, or 11.8 percent, to a total of 22.7 million in July.
(See table 1.)

The labor force participation rate for all youth--the proportion of the population 16
to 24 years old working or looking for work--was 59.5 percent in July, the lowest July
rate on record. The July 2011 rate was down by 1.0 percentage point from July 2010 and
was 18.0 percentage points below the peak for that month in 1989 (77.5 percent).

The July 2011 labor force participation rate for 16- to 24-year-old men, at 61.4 percent,
fell by 1.3 percentage points from a year earlier. The rate for women, at 57.6 percent,
edged down over the year. For several decades prior to 1989, the July labor force
participation rate for young men showed no clear trend, ranging from 81 to 86 percent.
Since July 1989, however, their participation rate for the month declined, falling by
about 21 percentage points. The July labor force participation rate for young women 
peaked in 1989 at 72.4 percent, following a long-term upward trend; their rate has
since fallen by about 15 percentage points.

The July 2011 labor force participation rate for Hispanic youth was 53.6 percent, down
by 2.5 percentage points over the year. The rate for whites decreased by 1.0 percentage
point to 62.2 percent. The participation rate for young blacks, at 50.2 percent, was
down slightly, while the rate for Asian youth (47.9 percent) was little different from
last year. (See table 2.)

Employment

In July 2011, 18.6 million 16- to 24-year-olds were employed, about the same as last
year. This summer's increase in youth employment--from April to July--was 1.7 million,
down slightly from last summer (1.8 million). The employment-population ratio for
youth--the proportion of the 16- to 24-year-old civilian noninstitutional population
that was employed--was 48.8 percent in July, a record low for the series, though only
marginally lower than in July 2010. (See table 2.)

In July 2011, the employment-population ratios were little changed from a year earlier
for all major demographic groups--young men (50.2 percent), women (47.3 percent),
whites (52.3 percent), blacks (34.6 percent), Asians (40.5 percent), and Hispanics
(42.9 percent).

Twenty-six percent of employed youth worked in the leisure and hospitality sector (which
includes food services), about the same as in July 2010. Another 21 percent were employed
in the retail trade industry, also about the same proportion as last year. (See table 3.)

Unemployment

The number of unemployed youth in July 2011 was 4.1 million, down from 4.4 million a
year ago. The youth unemployment rate declined by 1.0 percentage point over the year to
18.1 percent in July 2011, after hitting a record high for July in 2010. Among major
demographic groups, unemployment rates were lower than a year earlier for young men
(18.3 percent) and Asians (15.3 percent), while jobless rates were little changed for
young women (17.8 percent), whites (15.9 percent), blacks (31.0 percent), and Hispanics
(20.1 percent). (See table 2.)

Technical Note


   The estimates in this release were obtained from the Current Population
Survey (CPS), a national sample survey of 60,000 households conducted month-
ly for the Bureau of Labor Statistics (BLS) by the U.S. Census Bureau. The 
data in this release relate to the employment status of youth (16- to 24-year-
olds) during the months of April-July. This period was selected as being the 
most representative time frame in which to measure the full summertime transition
from school to work. July is the peak summer month of youth employment.

   Beginning in January of each year, data reflect revised population controls
used in the CPS. Additional information about population controls is available
on the BLS Web site at www.bls.gov/cps/documentation.htm#pop.

   Information in this release will be made available to sensory impaired
individuals upon request. Voice phone: (202) 691-5200; Federal Relay Ser-
vice: (800) 877-8339.

Reliability

   Statistics based on the CPS are subject to both sampling and nonsampling
error. When a sample, rather than the entire population, is surveyed, there 
is a chance that the sample estimates may differ from the "true" population 
values they represent. The exact difference, or sampling error, varies de-
pending upon the particular sample selected, and this variability is measured 
by the standard error of the estimate. There is about a 90-percent chance, 
or level of confidence, that an estimate based on a sample will differ by no 
more than 1.6 standard errors from the "true" population value because of 
sampling error. BLS analyses are generally conducted at the 90-percent level 
of confidence.

   The CPS data also are affected by nonsampling error. Nonsampling error
can occur for many reasons, including the failure to sample a segment of
the population, inability to obtain information for all respondents in the
sample, inability or unwillingness of respondents to provide correct infor-
mation, and errors made in the collection or processing of the data.

   A full discussion of the reliability of data from the CPS and infor-
mation on estimating standard errors is available on the BLS Web site at
www.bls.gov/cps/documentation.htm#reliability.

Definitions

   The principal definitions used in this release are described briefly
below.

   Employed persons are all those who, during the survey reference
week, (which is generally the week including the 12th day of the month),
(a) did any work at all as paid employees; (b) worked in their own business,
profession, or on their own farm; (c) worked 15 hours or more as unpaid
workers in a family-operated enterprise; or (d) were temporarily absent from
their jobs because of illness, vacation, labor dispute, or another reason.

   Unemployed persons are all persons who had no employment during the ref-
erence week, were available for work, except for temporary illness, and
had made specific efforts to find employment sometime during the 4 weeks
preceding the survey. Persons who were waiting to be recalled to a job
from which they had been laid off need not have been looking for work to 
be classified as unemployed.

   Civilian labor force comprises all persons classified as employed or
unemployed.

   Unemployment rate represents the number of unemployed persons as a
percent of the civilian labor force.

   Not in the labor force includes all persons who are not classified as
employed or unemployed.

   Industry and class of worker for the employed relate to the job held in
the survey reference week. Persons with two or more jobs are classified in
the job at which they worked the greatest number of hours. Persons are classified
using the 2007 Census industry classification system. The class-of-worker break-
down assigns workers to the following categories: Private and government wage
and salary workers, self-employed workers, and unpaid family workers. Wage and 
salary workers receive wages, salary, commissions, tips, or pay in kind from a 
private employer or from a government unit. Self-employed persons are those who
work for profit or fees in their own business, profession, trade, or farm. Unpaid
family workers are persons working without pay for 15 hours a week or more on a
farm or business operated by a family member in their household.