China didn’t panic about youth unemployment – New Age BD

Report on China’s Youth Employment Initiatives and Alignment with Sustainable Development Goals (Autumn 2025)

Executive Summary

In autumn 2025, China has demonstrated initial progress in mitigating high youth unemployment, a critical challenge to its economic and social stability. The urban jobless rate for individuals aged 16 to 24 (excluding students) decreased to 17.3% in October from 17.7% in September. This development reflects a series of coordinated policy interventions and market adjustments that align closely with several United Nations Sustainable Development Goals (SDGs), most notably SDG 8 (Decent Work and Economic Growth).

Key Statistical Indicators and Context

• Youth Unemployment Rate: 17.3% for the 16-24 age group (non-students) as of October 2025.
• Overall Urban Unemployment Rate: Stable at 5.1% in October 2025, indicating broader labour market stabilization.
• Labour Market Influx: Over 12 million students graduated in 2025, significantly increasing the supply of job seekers.

Government Policy and Strategic Interventions

The government has implemented a multi-faceted strategy to address youth unemployment, focusing on job creation, skills development, and market efficiency. These initiatives are designed to foster long-term human capital development in line with national economic goals.

1. Multi-Ministry Employment Plan: A 17-point plan was jointly issued by the Ministry of Human Resources and Social Security, the Ministry of Education, and the Ministry of Finance. Key measures include offering subsidies to organizations hiring young graduates, easing social insurance burdens, and prioritizing support for non-profit employers.
2. Nationwide Recruitment Campaign: A coordinated autumn recruitment drive was launched, featuring large-scale job fairs across the country. This effort incorporated technological innovation, such as AI-powered ‘smart interview cabins,’ to provide mock interviews and tailored career guidance, thereby modernizing the job-matching process.
3. Skills and Human Capital Development: A significant focus has been placed on aligning education with market demands. This includes the launch of 1,000 new interdisciplinary university ‘sub-majors’ and the expansion of vocational training in high-growth sectors like advanced manufacturing and modern services.
4. Rural Workforce Integration: A major government plan aims to retrain millions of rural workers, enhancing their employability through vocational education and entrepreneurship support, thereby promoting social integration and economic security.

Alignment with Sustainable Development Goals (SDGs)

China’s approach to youth employment directly contributes to the achievement of several SDGs, reflecting a commitment to inclusive and sustainable development.

• SDG 8: Decent Work and Economic Growth
  • The policies directly address Target 8.6, which aims to substantially reduce the proportion of youth not in employment, education, or training (NEET).
  • By promoting jobs in advanced manufacturing, eldercare, and technology, the strategy supports the creation of productive and decent work as outlined in Target 8.5.
• SDG 4: Quality Education
  • The emphasis on vocational training and the introduction of new university sub-majors align with Target 4.4, which seeks to increase the number of youth and adults with relevant skills for employment and entrepreneurship.
• SDG 10: Reduced Inequalities
  • The specific focus on youth, a demographic facing significant labour market challenges, helps reduce inequality.
  • The program to retrain and integrate rural workers directly addresses disparities between urban and rural populations.
• SDG 9: Industry, Innovation, and Infrastructure
  • By channelling talent into emerging technology and advanced manufacturing sectors, the policies support China’s broader industrial upgrade and foster innovation.
  • The use of AI in recruitment services demonstrates an application of modern technology to improve infrastructure for employment.

Challenges and Outlook

Despite positive indicators, significant challenges persist. Concerns remain regarding the quality of jobs being created and whether official statistics fully capture the extent of underemployment. The social and economic stakes are high, as prolonged youth unemployment can impede long-term growth and social stability. However, the government’s strategic and sustained policy engagement suggests a recognition of these risks.

Conclusion

The modest decline in China’s youth unemployment rate in autumn 2025 signals that targeted government interventions are yielding results. These efforts, deeply integrated with the principles of the Sustainable Development Goals, treat youth employment as a strategic priority for national development. By investing in human capital and aligning skills with future-oriented industries, China is working to build a more inclusive, modern, and forward-looking labour market capable of supporting sustainable economic growth.

Analysis of SDGs, Targets, and Indicators

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 8: Decent Work and Economic Growth

  The article’s central theme is youth unemployment in China, directly addressing the challenge of providing decent work and fostering economic growth. It discusses unemployment rates, government policies to create jobs, and the quality of employment opportunities in sectors like advanced manufacturing and modern services.

• SDG 4: Quality Education

  The article connects the unemployment issue with education and skills development. It mentions government initiatives like launching new university sub-majors, focusing on vocational training, and retraining rural workers to align the workforce’s skills with the demands of a changing economy.

• SDG 10: Reduced Inequalities

  By focusing specifically on youth unemployment, the article touches upon inequality based on age. The struggle of young graduates to find work represents a significant economic disparity between different age cohorts. Government efforts to support this group and retrain rural workers are aimed at promoting economic inclusion and reducing these inequalities.

2. What specific targets under those SDGs can be identified based on the article’s content?

• Target 8.5: “By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value.”

  The article directly relates to this target through its focus on China’s efforts to lower the youth unemployment rate and create “meaningful work.” The discussion on the “quality of jobs” in emerging sectors and avoiding “low-skill dead ends” aligns with the goal of achieving productive employment and decent work for young people.

• Target 8.6: “By 2020, substantially reduce the proportion of youth not in employment, education or training (NEET).”

  Although the 2020 deadline has passed, the principle of this target is central to the article. The entire piece revolves around China’s policies and actions aimed at reducing the high rate of youth unemployment, which is a core component of the NEET metric.

• Target 4.4: “By 2030, substantially increase the number of youth and adults who have relevant skills, including technical and vocational skills, for employment, decent jobs and entrepreneurship.”

  This target is identified through the article’s mention of specific government actions, such as the “17-point plan” that emphasizes skills development, the launch of “1,000 new interdisciplinary ‘sub-majors’ at universities,” and a major plan to “retrain hundreds of millions of rural workers” through vocational education.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

• Indicator for Target 8.6: The article explicitly provides a key indicator: the “urban jobless rate for 16 to 24-year-olds (excluding students).” It states this rate fell from 17.7% in September to 17.3% in October 2025. This is a direct measurement of youth unemployment.
• Indicator for Target 8.5: The overall “urban unemployment rate,” which held at 5.1%, is mentioned as an indicator of broader labor market stability. While not specific to youth, it provides context for progress towards full employment. The article also implies qualitative indicators by discussing the creation of jobs in “advanced manufacturing, modern services, eldercare, and emerging technology sectors,” which can be used to measure the quality and productivity of employment.
• Indicator for Target 4.4: The article provides quantifiable policy outputs that serve as indicators of progress. These include the “launching [of] 1,000 new interdisciplinary ‘sub-majors’” and the plan to “retrain hundreds of millions of rural workers.” The number of graduates connected with enterprises through nationwide recruitment campaigns and job fairs is another implied indicator of bridging the skills gap.

4. Summary Table of SDGs, Targets, and Indicators

Source: newagebd.net