Youth unemployment and mental health – gender differences and economic stress

This article accounts for a study among 81 unemployed people under 25 years of age and 143 youth trainees in a small municipality in central Sweden. The results show an explicit relationship between unemployment and mental ill health among young people. One unemployed man of four and every second unemployed woman feels that the mental well-being grew worse when they became unemployed. The opposite is experienced by one male youth trainee of four and four female youth trainees of ten, who state that their mental well-being improved when they got into a youth training program after having earlier been unemployed. The results also show that young people with poor finances on the whole have more mental troubles and anxiety about the future than young people with good finances have. The article discusses possible explanations for the patterns with respect to gender and the private financial situations that appear in the results.     

The challenge of youth unemployment

This article was prepared as a contribution to the ILO's Action Programme on Youth Unemployment. It presents an overview of the youth unemployment problem and youth employment policy principally from a European perspective, although it is hoped that much of the comment and analysis is relevant to afar broader range of countries. In the first section, which considers the nature and causes of youth unemployment, it is shown that its basic cause is aggregate demand rather than high youth wages or the size of the youth cohort, and suggests that a successful strategy for dealing with the problem must take this into account. In the second section, dealing principally with the examples of Germany and the United Kingdom, a number of factors are identified which influence the effectiveness of youth employment policy. In particular, it is found that precise targeting of programmes and the involvement of employers' and workers' organizations, as well as government, in the design and implementation of policy are both important determinants of an effective policy. A third section attempts to set the analysis in a more general context.     

The policies of unemployment protection in Europe

The abundant literature on welfare state policies, regimes or ‘worlds’ has been only limitedly interested in unemployment protection, and even less in youth unemployment protection. What is clearly lacking in the literature is an updated analysis of the most recent policies developed in European countries targeting youth. This mini‐symposium aims to fill in this gap by presenting findings from an EU‐funded research project entitled ‘Youth, Unemployment and Exclusion in Europe: A Multidimensional Approach to Understanding the Conditions and Prospects for Social and Political Integration of Young Unemployed’ (YOUNEX). The main aim of the research endeavour was to develop theory and contribute to empirical knowledge concerning the social and political exclusion of unemployed youth in Europe.     

Labour market integration of unemployed youth from a life course perspective: the case of Norway

The aim of this article is to analyse the labour market integration of previously unemployed youth in a life course perspective. 'Work, Lifestyle and Health' is a longitudinal panel survey following a sample of nearly 2,000 individuals who are representative of the Norwegian cohorts born between 1965 and 1968. The survey was first conducted in 1985 with follow-ups in 1987, 1989, 1993 and again in 2003. Unemployment among young people does not necessarily lead to marginalisation and social exclusion. Long-term effects will be dependent upon how the youths cope with unemployment, the duration of the unemployment period, their mental health status and educational qualifications. Many young unemployed people are not entitled to unemployment benefits because they lack work experience. Consequently, they are dependent on support from their family and/or social assistance. However, there is still much to learn about the long-term consequences of youth unemployment, e.g. whether or not the youths have received social assistance and what are the long-term consequences for their future labour market career and labour market integration.     

Mental Health and Social Exclusion among Unemployed Youth in Scandinavia. A Comparative Study

Although there has been considerable research on the relationship between mental health problems and unemployment among youth in a national context, there have been few comparative studies involving countries with different cultures and different levels of unemployment. Surveys in the five Nordic countries (Finland, Iceland, Norway, Sweden and Denmark) of nearly 8,000 young unemployed people enable us to study young peoples' experience of unemployment in a comparative perspective. Representative samples of unemployed youth were drawn from the national unemployment registers. In Sweden the sample consisted of 3,998 young people with a response rate of 63%, in Finland 2,386 (response rate 73%), Iceland 2,280 (response rate 60%), Denmark 1,540 (response rate 76%) and Norway 2,000 (response rate 56%). The data were later coupled to data from the unemployment register in the respective countries. The populations were interviewed 6 to 12 months after they were registered as unemployed.     

Patterns of change in youth unemployment regimes: France and Switzerland compared

The comparison between France and Switzerland enables us to compare a country that has a strong interventionist tradition in the labour market and whose youth unemployment is endemically high with a more liberal country that is faced with a more recent increase in youth unemployment but which, nevertheless, remains relatively measured. Starting from different rules and values, the two youth unemployment systems resemble each other insofar as both exclude most unemployed youth from all available benefits. From this angle, French egalitarianism rejoins Swiss differentialism. In both cases, it is not the least of paradoxes that the system of unemployment insurance so little benefits those who are most vulnerable to the economic crisis and the present dearth of jobs.     

Youth, unemployment and political marginalisation

The article investigates the impact of being unemployed on political marginalisation among young people. Are unemployed youth politically marginalised compared with employed youth? Is the impact of unemployment on political marginalisation related to the development of the welfare state? Based on Marshall’s concept of social citizenry, and Esping‐Andersen’s theory of decommodification politics, the impact of unemployment on political marginalisation was expected to be least in the most‐developed welfare states. In these countries, welfare policies were expected to counteract marginalisation among the unemployed. The analyses were based on the Eurobarometer survey Young Europeans from 1990. Three aspects of political marginalisation were investigated: political confidence, political interest and political extremism. Unemployed youth express less confidence in politics, they talk less about politics and they more frequently support revolutionary political ideas, compared with employed youth. The greatest difference in political confidence between unemployed and employed is found in Great Britain, while Italy represents a deviant case where the unemployed have more confidence than the employed. The development of the welfare state does not appear to be a crucial factor for political confidence among the unemployed.     

Youth‐oriented active labour market policies and economic crisis: Explaining policy effort in Greece and Portugal

The starting point of this study is the implementation of seemingly similar youth‐oriented labour market policies in Greece and Portugal. Both countries have suffered high youth unemployment rates and have been pressured to restructure their labour market as part of the rescue programmes adopted during the European sovereign debt crisis. Despite convergence in terms of policy trajectories, there is a significant divergence in employment outcomes. In Portugal, youth‐oriented policies were better‐targeted and structured. Their implementation has been more effective and has involved the social partners from the outset of the crisis. In Greece, policy design failures, administrative weaknesses and unfavourable macroeconomic conditions have limited the dynamics of youth‐oriented policies thus increasing youth insecurity. Τhe analysis suggests that convergence in policy content can be compatible with divergence in terms of outcomes.     

Poverty, Social Exclusion and Social Policy in the Czech Republic

This article analyses the pattern of poverty and social exclusion in the Czech Republic and the impact of social policy on this pattern. The analysis is mostly based on data from the Czech Survey on Social Conditions of Households (2001; 27,000 respondents); Eurostat data provide a benchmark for making international comparisons. The poverty rate in the Czech Republic is among the lowest in Europe. On the other hand, material deprivation, as well as concentration of poverty within specific population groups, is high, with the unemployed facing the highest risk of poverty. Social policy measures in effect reinforce this pattern: while the benefit system is highly redistributive and effectively eliminates income poverty among households of employed persons and among pensioners, incomes of persons outside paid employment are protected less effectively. Labour market policy measures are insufficient in scope and inadequate in targeting groups which are facing the highest risk of labour market exclusion and poverty. We argue that although this practice is effective at present, it is not sustainable in the long term.     

Effects of Unemployment on Health in a Community Survey: Main, Modifying, and Mediating Effects

Results from a community survey in a sample of high-unemployment census tracts in southeastern Michigan showed significant elevations of depression, anxiety, somatization, and self-reported physical illness among the currently unemployed. These adverse effects were largely reversed by reemployment. Subsequent analyses documented modifying effects of social support, self-concept, and coping. We also found two mediating processes that account for the overall effects of current unemployment: (a) the intervening effects of financial strain, and (b) an influence of unemployment in creating heightened vulnerability to other stressful life events. The implications of these results for the design and implementation of preventive interventions are briefly discussed.     

Is Unemployment a Health Hazard? Health-related behaviours of a sample of unemployed Sydney youth in 1980

A self-report questionnaire, tapping a variety of areas of health-related behaviours, was administered individually to a hundred young men and women aged between 15 and 24 years, solicited outside the Commonwealth Employment Service Office in Liverpool, New South Wales, in August 1980, all of whom described themselves as having been continuously unemployed for at least four weeks up to the time of interview. The group was divided at its approximate median of five months in terms of duration of current period of unemployment, and the short-term and long-term unemployed groups thus derived were contrasted on all variables. The resultant analysis showed the total long-term unemployed group to be characterized by heavier smoking, reduced participation in sport, and, though not statistically significant, increased drug usage, relative to the short-term group. Within the long-term group, females were drinking more, and visiting the doctor more, than their short-term peers; males were changing their drinking, friendship, eating and sleeping habits in directions indicative of loss of social contact.     

Overcoming barriers: Effects of entering vocational rehabilitation on labour market outcomes

Vocational rehabilitation aims at getting people with health problems or disabilities back into work. In Germany, the Public Employment Service is a central provider of vocational rehabilitation services targeted at unemployed people. Against this background, the study examined the labour market effects of vocational rehabilitation for people registered as unemployed with the Public Employment Service. A comparison of the accepted and the rejected applicants for vocational rehabilitation using inverse probability weighting based on propensity scores provides an insight into its effects. The results suggest that the employment prospects of persons who were accepted in the programme improved modestly after the third‐year following application. A subgroup analysis identified stronger re‐employment effects of acceptance into vocational rehabilitation in eastern Germany as well as for men and older individuals.     

Continuity and change in the Community Development Employment Projects Scheme (CDEP)

The Community Development Employment Projects (CDEP) scheme is an example of an Indigenous‐specific program that combines community development and labour market program elements. This paper describes the nature of CDEP employment in 2008 and the extent to which it changed between 1994 and 2008. The paper also compares a selection of economic and social outcomes of CDEP participants with those of persons who were employed outside of CDEP, unemployed and not‐in‐the‐labour‐force (NILF) in 2008 and the extent to which these associations changed between 1994 and 2008. This paper also aims to assess the extent to which CDEP participation is consistent with the community development objectives of the scheme. The analysis shows that the nature of the jobs in which CDEP participants work and the experiences it provides to workers have changed little despite substantial changes in underlying policy settings. CDEP participation is associated with the maintenance of language and culture as well as facilitating an ongoing connection to traditional lands. Participation in the scheme is associated with better social and economic outcomes compared to those of the unemployed or those NILF, but much worse outcomes than those for people working in non‐CDEP employment.     

Unemployment and Health in Sweden: Public Issues and Private Troubles

The unemployment rate for a country seems to reflect unemployment policies rather than economic conditions. Variations in employment rates for selected Western countries are presented as a background for a discussion of unemployment and its individual and societal consequences in Sweden. Unemployment is both a private trouble—where individuals see the possibility of controlling their own lives diminishing, which leads to increased risk for psychological and physiological stress—and a public issue, for increased unemployment is associated with societal vulnerability, social polarization, and the breakdown of community ties, which lead to increased societal stress and increased mortality on the national and the community levels. However, for the large majority of workers, the Swedish welfare system buffers first against unemployment, and second against its negative economic effects. Less than 2% of the workforce are exposed to unemployment, and a minority of the unemployed seem negatively affected by the unemployment experience. An empirical longitudinal study of unemployed blue-collar workers and two employed control groups indicated that a coping orientation involving an attitude of mastery or perceived control buffered against psychological and physiological stress reactions.     

The increasing importance of place: neighbourhood differences in metropolitan Sweden, 1990–2006

The shift from a fairly equitably distributed economy to a more unequal one is likely to have consequences. This article investigates neighbourhood differences in three cities in Sweden between 1990 and 2006 using panel registry data for the total population. The results show increasing neighbourhood differences in the outcomes of student grades and youth unemployment. Neighbourhood differences were computed for both those belonging to the majority of the population and visible minorities, and it was determined that the differences are not the result of an increase in the number of immigrants in poorer neighbourhoods. The majority population displays the largest differences in both grades and unemployment. The increase in disparities among neighbourhoods regarding outcomes for youth is a warning sign: it could lead to low motivation, loss of aspirations and social unrest.     

Working to get fired? Unemployment benefits and employment duration

In many countries, jobseekers are entitled to unemployment benefits (UBs) only if they have previously worked a minimum period of time. This institutional feature creates a sharp change in the disutility from unemployment at UB eligibility and may distort the duration of jobs. In this paper, we evaluate this eligibility effect using a regression discontinuity approach. Our evidence is based on longitudinal social security data from Portugal, where jobseekers are required to work a relatively long period to collect UBs. We find that monthly transitions from employment to unemployment increase by 10% as soon as the eligibility condition is met. This result is driven entirely by transitions to subsidised unemployment, which increase by 20%, as non-subsidised unemployment is not affected. The effects are even larger for the unemployed with high UB replacement ratios or those who meet the eligibility condition from multiple short employment spells. These transitions deserve greater attention from UB agencies and public employment services.     

Deciphering Deservedness: Canadian Employment Insurance Reforms in Historical Perspective

In 2012, the Government of Canada introduced reforms to Employment Insurance (EI), Canada's primary income security programme for the unemployed. The changes entailed new requirements for particular types of claimants to apply for and accept jobs of increasingly less pay, and codified the efforts claimants must demonstrate in job searches to maintain benefits. These measures leave many claimants little choice but to accept precarious employment as a means of financial survival. The central claim of the article is that recent EI reforms are not adequately understood as an instance of neo‐liberal activation. Instead, they must be situated in a long history of attempts to categorize the unemployed as deserving or undeserving of income security on the basis of their work history and perceptions of their willingness to work. Through a survey of different periods of unemployment policy in Canada, we demonstrate continuity in authorities' efforts to differentiate the unemployed into categories of worthy and unworthy. Within this history, however, the 2012 reforms are unprecedented in the extent to which they reorient the EI programme to service low wage labour markets. By way of conclusion, we suggest that the current EI programme exacerbates insecurities for the growing segment of workers in precarious employment.     

Promoting workplace‐based training to fight youth unemployment in three EU countries: Different strategies,different results?

During the economic crisis, youth unemployment grew exponentially in many European countries. It was argued that countries with a high level of firm involvement in the provision of initial vocational training were better equipped to address this problem. Boosting workplace‐based training was therefore seen as the right strategy to tackle unemployment. Using Denmark, Spain and the UK as case studies, this article analyses how countries with different skill formation systems have improved this type of training. While the UK reinforced the voluntaristic character of its training regime, Denmark improved the quality of its vocational education, and Spain made reforms to the training and apprenticeship contract. Interestingly, the countries achieved different results. To explain this divergence, it is argued that while the reforms made in the UK and Denmark were compatible with the national institutions and coordination mechanisms, this was not the case in Spain, where reforms were implemented in a non‐complementary way. Key Practitioner Message:

• After the economic crisis it was argued that countries with a high level of firm involvement in the provision of initial VET were better equipped to fight youth unemployment.
• The study analysed how countries with different skill formation systems improved this type of training and assessed their relative success.
• The article shows that when implementing reforms policy makers must take into account the institutions and mechanisms of coordination that prevail in each country. Otherwise, reforms may be unsuccessful.

     

Unemployment and psychological distress among young adults in the Nordic countries: A review of the literature

This article reviews Nordic research, published from 1995 and onwards, on the relationship between unemployment and mental health among young adults. Cross‐sectional, longitudinal and time‐series studies are included. Cross‐sectional studies show that the unemployed experience more mental health problems than the non‐unemployed. Leaving unemployment is associated with increased well‐being. Economic problems, feelings of shame and poor social support increase the likelihood of psychological distress. The longitudinal studies show that unemployment increases the risk of psychological distress and attempted suicide, after initial mental health status and confounding factors are accounted for. The relationship remains significant when time‐invariant characteristics of the individuals are controlled for. The time‐series studies found no relationship between unemployment and suicide, but levels of psychological distress were found to vary with changes in the labour market. This relationship remained significant after excluding the non‐employed, indicating that unemployment trends have effects beyond those directly associated with unemployment.     

Keep out of the reach of children: parental unemployment and children's accident risks in Sweden 1991–1993

In the early 1990s, unemployment levels increased dramatically in Sweden. Although the effects of unemployment on unemployed individuals are well-documented, research on parental unemployment and children has been neglected. The aim of the present study is to explore the relationship between parental unemployment and children's accident risks in Sweden for the period 1991–1993. Two independent samples are used: the Swedish Level of Living Survey 1991 (original sample 6,733 individuals) and the Swedish Longitudinal Study among Unemployed 1992–1993 (original sample 792). The samples were taken during periods of both low and high unemployment. The results indicate that parental unemployment is associated with increased accident risks among children in 1991, 1992 and 1993. The increased risks do not seem to be due to the effects of adverse selection into unemployment on parental well-being, financial difficulties or alcohol consumption. It is also suggested that low parental well-being is of causal significance within the unemployed group.