1 day Ago By Moneywise
When many people picture someone aged 16 to 24, they imagine a student buried in books or a young adult starting their first job. But for more than 4.3 million Gen Zers, neither is true — they're not in school, not working, and increasingly unsure where they fit in.
That’s according to the latest report by Measure of America , a project of the Social Science Research Council. The study estimates that roughly 10.9% of young U.
S. adults are NEET, or "not in Education, Employment, or Training." Don't miss The report suggests that even a temporary withdrawal from society can have lasting consequences on a young person’s life.
“It’s associated with lower earnings, less education, worse health, and even less happiness in later adulthood,” the study says. With nearly one in ten young people facing this grim future, some are now calling for a redesign of the education system to address the issue. Worthless college degrees Although college is traditionally seen as the path to building a bright future, political commentator Peter Hitchens argues that this belief no longer holds true.
“In many cases, young people have been sent off to universities for worthless degrees which have produced nothing for them at all,” said the author in a recent episode of his Alas Vine & Hitchens podcast. “And they would be much better off if they apprenticed to be plumbers or electricians. They would be able to look forward to a much more abundant and satisfying life.
” Indeed, nearly 52% of job postings in January 2024 did not require a formal college degree, according to Indeed’s Hiring Lab . Meanwhile, 39% of firms in blue-collar sectors such as manufacturing and construction said they struggled to find employees in 2024, while 37% said the employees they hired were not suitable for the job, according to Angi . This skills gap is likely to persist as young adults still see blue-collar work as less prestigious than white collar professions.
A Jobber study conducted in 2023 found that 74% of Americans between the ages of 18 and 20 perceive a stigma associated with choosing vocational school over a traditional four-year university. Many are willing to go into debt to finance their white-collar ambitions. American households had accumulated $1.
61 trillion in total student loan debt to finance some of these degrees, according to the New York Federal Reserve . Crippling student debt for degrees that don’t lead to meaningful employment may explain why many young adults are disengaging from society. Fortunately, efforts are underway to turn the tide.
Read more: This hedge fund legend warns US stock market will crash a stunning 80% — claims 'Armageddon’ is coming. Don’t believe him? He earned 4,144% during COVID. Here’s 3 ways to protect yourself Plugging the gap and changing perceptions Shifting perceptions of blue-collar work and creating clearer pathways into trades and vocational careers could be key to addressing the NEET issue.
For instance, TV host Mike Rowe is giving away $2.5 million in scholarships this year to support young people pursuing skills training. DEWALT , a leading manufacturer of power tools and equipment for construction and industrial use, is investing nearly $4 million through its "Grow the Trades" initiative.
The funding will be distributed as grants to 166 organizations across the U.S. and Canada that are dedicated to training the next generation of skilled tradespeople, including programs focused on skilling, reskilling and upskilling workers in areas such as carpentry, electrical work, HVAC and more.
Vocational training is already gaining traction. As of late 2024, 923,000 students had enrolled in a skilled trades school, up 13.6% from the previous year, according to the National Student Clearinghouse.
If these trends continue, the skills gap — and the NEET crisis — could be gradually resolved. What to read next This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
.
