24 June 2020
Lowering youth unemployment, and aiming to effectively engage as many of Europe’s young people as possible in the world of work, is at the heart of the EU policy agenda. The economic crisis has led to high levels of youth unemployment and thus disengagement among young people.Read more
Lowering youth unemployment, and aiming to effectively engage as many of Europe’s young people as possible in the world of work, is at the heart of the EU policy agenda. The economic crisis has led to high levels of youth unemployment and thus disengagement among young people. In light of this, researchers and government officials have sought new ways of monitoring and analysing the prevalence of labour market vulnerability and disengagement among young people.
The term NEET is used to describe young people not in employment, education or training.Read less
EYE Online - Eurofound panel debate: Being young during the COVID-19 crisis - Impact on work, life and well-being
The concept has been widely used as an indicator to inform youth-oriented policies on employability, education, training and also social inclusion in the 28 EU Member States since 2010.Read more
The concept has been widely used as an indicator to inform youth-oriented policies on employability, education, training and also social inclusion in the 28 EU Member States since 2010.
NEETs were specifically referred to for the first time in European policy discussions in the Europe 2020 flagship initiative ‘Youth on the move’. The age category covered by the term was 15–24 and was later broadened to include those aged 15–29. The concept is now centrally embedded in the policy discourse at EU level. Currently, 12.6% of the population aged 15–29 are NEETs, which is the lowest point for a decade.
In April 2013, the European Commission’s proposal to the Council of the European Union to implement a Youth Guarantee in all Member States was adopted. Reducing the number of NEETs is an explicit policy objective of the Youth Guarantee. This initiative aims to ensure that all young people aged 15–24 receive a good-quality offer of employment, continued education, apprenticeship or traineeship within four months of becoming unemployed or leaving formal education. The roll-out of the Youth Guarantee across Member States, via the Youth Employment Initiative, has contributed to improving the situation on the ground, reducing the number of NEETs.
In December 2016, the Commission launched the initiative 'Investing in Europe's Youth', a renewed effort to support young people. Given the positive impact of the Youth Guarantee up to that point, the Commission increased the finances available for the Youth Employment Initiative until 2020 to encourage more effective outreach to young people.
A new EU Youth Strategy was adopted in 2018 and sets out a framework for cooperation with Member States on their youth policies for the period 2019–2027. The strategy focuses on three core areas of action, centred around the words ‘engage, connect, empower’. Under the new Commission, which took office in December 2019, a reinforced Youth Guarantee is planned for 2020.
- European Commission: The Youth Guarantee
- EUR-Lex: Communication on Investing in Europe's Youth
- European Commission: EU Youth Strategy
With Youth Guarantee implementation, the number of NEETs aged 15–29 has decreased, from around 14 million at the height of the 2008–2013 crisis to 9.3 million in 2019 (12.6Read more
With Youth Guarantee implementation, the number of NEETs aged 15–29 has decreased, from around 14 million at the height of the 2008–2013 crisis to 9.3 million in 2019 (12.6%). However, Eurofound research still estimates the significant loss to European economies to be around €142 billion a year (2015) – in benefits and forgone earnings and taxes. This has a significant impact on the economic and social development of the EU. With the situation of young people now exacerbated by the COVID-19 pandemic, Eurofound will look at the impact of the crisis on these figures.
Focus of research
Eurofound has pioneered almost a decade of extensive research on NEETs (see publications below) and has:
- performed the first EU comparative analysis on NEETs
- explained who NEETs are
- estimated the economic costs of NEETs
- investigated the social consequences of being NEETs
- estimated risk factors of falling into the NEET category
- investigated the effectiveness of policies for reintegrating NEETs
- monitored Youth Guarantee implementation.
Diversity of NEETs
As part of this research, Eurofound has sought to unravel the heterogeneity of the NEET population. Its 2016 study on the diversity of NEETs provides a new categorisation into seven subgroups in order to better understand the composition of this group of young people. The aim is to better assist policymakers in understanding who the NEETs are and to assist the design of adequate support measures to meet a wide variety of needs. Each of these groups is made up of a mix of vulnerable and non-vulnerable young people who are not accumulating human capital through formal channels, whether voluntarily or involuntarily.
- Publication: Exploring the diversity of NEETs
- Publication: Exploring the diversity of NEETs: Country profiles – Providing a snapshot of the NEET situation at Member State level, the profiles look at trends in youth unemployment and NEET numbers, the compositions of the NEET group and their risk of social exclusion.
COVID-19 and NEETs
In April 2020, Eurofound carried out a survey on Living, working and COVID-19 to establish the initial impact of the pandemic on the lives of EU citizens. Young Europeans are feeling the strong impact of pandemic restrictions as they cope with the lowest levels of mental well-being and high levels of loneliness . Young men also appear most affected by job loss in the current crisis.
In May, Eurofound moderated a live session during the European Parliament’s online European Youth Event 2020 to discuss some of the initial results of the survey, focusing on how young people are coping during COVID-19. NEETs emerged as one of the most vulnerable groups following the 2008–2013 Great Recession. The major concern now is how these young people will again be affected by the economic fallout from COVID-19. Eurofound will examine the impact on young people as part of its ongoing study on NEETs.
- Eurofound and ILO webinar 25 June: How COVID-19 affects Europeans and the EU labour market
- Blog: Is history repeating itself? The impact of the COVID-19 crisis on youth
- Publication: Living, working and COVID-19: First findings – April 2020
- Blog: Europe’s long-term issue: Youth unemployment
Social situation of NEETs
New research will assess the situation of young people in the EU, in particular NEETs, a decade after the onset of the Great Recession. Building on Eurofound’s previous research on youth, the new research will investigate how the NEETs population has changed in terms of its size and composition. It will also include a new estimation of the cost of NEETS to society in light of these changes. A review of evaluations of selected measures for social inclusion of young people will be carried out, possibly with some focus on specific groups.
- Forthcoming publication: Social situation of NEETs: 10 years on?
Other related research topics
In addition to research on the diversity of NEETs, over the years Eurofound has explored (see publications section below):
- the characteristics and values of youth entrepreneurship
- how to engage the ‘missing middle’: young people with second-level education who do not follow academic routes into higher education
- the social inclusion of young people
- youth transitions in the labour market
- the rise in temporary employment among young people and access to social protection
- working conditions of young entrants to the labour market
- recent policy developments related to NEETs.
Key outputs over the years
- NEETs emerged as one of the most vulnerable groups following the 2008–2013 Great Recession.Read more
- NEETs emerged as one of the most vulnerable groups following the 2008–2013 Great Recession. Youth unemployment soared above 40% in many EU countries, highlighting how young people are more vulnerable to economic recession than other age groups.
- In the EU27, the share of NEETs aged 15–29 peaked at 16.1% in 2013 with some improvement in the subsequent years due to policy measures like the Youth Guarantee. By 2019, the rate had fallen to 12.6%, the lowest point in 10 years .
- The high number of NEETs has cost the European economies an estimated €142 billion a year (2015) in benefits and forgone earnings and taxes.
- The NEETs rate for young women in the EU stood at 14.6% in 2019 and remains higher than the rate of 10.8% for young men. The share is higher for young women in all Member States.
- Young people, especially having just left education, could be hit harder economically by the COVID-19 fallout, mainly because they tend to work more in sectors worst affected by the shutdown, on temporary contracts or in other insecure and precarious forms of work. This leaves them more susceptible to layoffs or working time reductions, putting them more at risk of long-term unemployment or hindering entry to the labour market.
- Y oung people still trust the EU (5.2 out of 10) slightly more than they trust national governments (5.1) . Young students have even higher trust in both the EU (5.8) and their government (5.6), while those who are unemployed had lower trust in both (4.4 and 4.1, respectively), but this was still higher than other unemployed workers.
- The higher level of trust among young people is important social capital that the EU and national governments should act to preserve by putting in place measures to prevent the explosion of another youth unemployment crisis in the wake of the COVID-19 crisis.
Publications & dataTop
The sections below provide access to a range of publications, data and ongoing work on this topic.
- Publications (51)
- Ongoing work (1)
Eurofound publications come in a variety of formats, including reports, policy briefs, blogs, articles and presentations.
EYE Online - Eurofound panel debate: Being young during the COVID-19 crisis - Impact on work, life and well-beingEvent 28 May 2020
Informal Meeting of Employment, Social Policy, Health and Consumer Affairs Council (EPSCO) - Employment & Social PolicyEvent 17 April 2018
Research continues in this topic on a variety of themes, which are outlined below with links to forthcoming titles.
Other ongoing work
- Policy brief on underemployment, long-term unemployment and in-work poverty