The news: During tough economic times, Spain's youth unemployment has reached a record 57.7%. As of November 2013, a total of 983,000 people in Spain under age 25 are out of work.
The previous record was held by Greece, which had 58.4% of their youth unemployed in August of last year. That number went down to 54.8% two months later. Total European unemployment sits at 12.1%, an all-time high.
Spain hopes that employment will rise if their economic recovery goes according to plan, which entails meeting bailout demands, something Greece hasn't done.
The background: According to a Labour Ministry report, two of the most successful employers in Spain were the services sector, which had 87,253 jobs; and the agriculture and fisheries industry, which had 8,890 jobs. Be that as it may, the International Monetary Fund believes that Spain will continue to have high unemployment rates if reforms aren't made.
Around the same time as the U.S., Spain's economy went into a recession in 2008 when their property market collapsed. Their government and their banks had to use rescue loans from eurozone funds as unemployment went on the rise.
In April 2013, the European Union executives approved the Spanish government's plan to bring their public deficit down to fewer than 3% by 2016, which is the EU's limit. Clearly, Spain is not on their way to meeting this goal, as unemployment has only gone up since the announcement, raising the public deficit. Going into 2014, Spain has lost support from eurozone for its banks. The aid program that they provided was cut short after 41 billion euros was given to Spain to ease their financial woes.
The takeaway: James Howat, a European economist at Capital Economics, said, "There is a real danger that these young people will get trapped in the ranks of the long-term unemployed." That's not much different as it is here in the States.
The Economist has dubbed millennials in America as "Generation Jobless." As youth unemployment in America sits at 16%, that title isn't too far off. It's not just Spain — the economy of the world has its work cut out for them to find employment for the younger generation. If not, we will indeed get trapped in the ranks of long-term unemployment.