One in five urban youth are unemployed in China; France’s pension eligibility age is set to rise

One in five urban youth are unemployed in China; France’s pension eligibility age is set to rise

Today’s global news summary brings news from China, France, and the globe and discusses issues as diverse as youth unemployment, retirement, and gender inequality. 
 


One in five urban youth are unemployed in China
Migration and ethnicity | Development | Education and human capital
The youth unemployment rate in China has increased: from 15.3% in March to 18.2% in April. In July it reached almost 20%. “That means there are currently about 20 million people aged 16 to 24 out of work in cities and towns, according to CNN calculations based on official statistics that put the urban youth population at 107 million. Rural unemployment isn’t included in official data,” the CNN reports.

“The difference in educational attainment between China's urban- and rural-born populations has widened in recent years, and the relatively low educational attainment of the rural-born is a significant obstacle to raising labor productivity,” John Giles and Yang Huang from the World Bank write in their IZA World of Labor article.

Related content
IZA World of Labor articles
Migration and human capital accumulation in China
Trade and labor markets: Lessons from China’s rise

Key topics
Covid-19—Pandemics and the labor market

France’s pension eligibility age is set to rise
Labor markets and institutions | Demography, family, and gender
Bloomberg reports that “France plans to raise the retirement age as part of a second attempt by Premier Emmanuel Macron to reform the pension system.” Budget Minister Gabriel Attal has said that the country’s pension system is facing a deficit and the only way to secure the system for future generations is to “raise the age of eligibility for retirement benefits.”

“Unless people work longer as they live longer, public pension systems will become unsustainable and pension payments cannot be guaranteed. The implications of rising life expectancy for the financial stability of public pension systems have led some governments to raise the official eligibility age. However, the success of such policies depends on how individuals respond to the incentives built into the systems,” Laura Hospido writes in her article.

Related content
IZA World of Labor articles
Retirement plan type and worker mobility
Pension reform and couples’ joint retirement decisions

Key topics
The aging workforce and pensions reform

Opinions
Solving pension crises

IZA discussion papers
Pension Wealth and the Gender Wealth Gap
COVID-19 Private Pension Withdrawals and Unemployment Tenures

Women who work from home might be held back in their careers
Behavioral and personnel economics
As reported by The Guardian, “the post-Covid return to work is entrenching the gender pay and promotion gap, with employers failing to monitor its impact or properly design jobs for hybrid and remote working.” Women are most affected by this as they are most likely to choose flexible hours or work from home.

In her article Petra Nieken poses the question as to which leadership techniques and tools should digital leaders use to communicate effectively with remote teams.

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IZA World of Labor articles
Digital leadership: Motivating online workers
Gender wage discrimination

Key topics
Covid-19—Pandemics and the labor market
National responses to Covid-19

Opinions
What to do on women's equality?
What works for women’s work in low- and middle-income countries?
Childcare during Covid-19