
The youth unemployment rate hit 18.5% in July 2009, the highest level for that month since 1948, the Labor Department said Thursday. The youth unemployment rate, which covers people 16 to 24 years old, was down from 19.9% in June, but was the highest for the month of July since the Labor Department started tracking it. From April to July, the number of employed young people rose by 1.6 million to 19.3 million, according to Labor Department data that’s not seasonally adjusted because it’s meant to track the traditional increase in summer employment among young people. Last summer the number of young people grew by 1.9 million. The proportion of young people working, though, was 51.4%, another historic low for the month of July, which tends to be the peak for youth summer jobs. At its peak in 1989, that proportion was about 18 percentage points higher. Young workers tend to be some of the most vulnerable employees, so they’ve been hit particularly hard during this deep downturn. Summer is traditionally the season when they hit the market en masse, searching for their first jobs, internships, or seasonal employment. The worst recession in 70 years has made that pursuit extraordinarily tough, pushing even experienced workers to compete for low-wage jobs and parents to shell out thousands to buy their children coveted internship slots. Some, it appears, are fleeing the labor market entirely – at least for now. The labor force participation rate for the age group, meaning the proportion of young people working or looking for work, was 63% in July, 2.1 percentage points lower than last year. It’s the lowest July rate in more than 50 years.