With the impact of the global financial crisis, the economy of Hong Kong has suffered a severe blow.  The problem of youth unemployment between the ages 15-24 calls for our attention.  From October to December 2008, the unemployment rate of young people aged 15-19 rose to 19.5%, while that of those aged 20-24 rose to 7.9%.  The number of unemployed persons amounted to 34,600.  Hong Kong is expected to undergo a continuous economic slowdown and a shrinking labour market under the financial crisis.  Young people, especially those with low educational attainment, low levels of skill and those continuously unemployed, will find it even harder to secure a job.  To find a way and offer them support so that they will not be marginalized in the labour market is one of our major concerns.

      The employment market will remain weak as the effect of the global financial crisis is spreading to various economic sectors.  What are the expectations of young people regarding their prospects of employment?  For those long-term unemployed youth (i.e. those who have been unemployed for six months and over), what are the obstacles they encountered and what kinds of support do they need?  These questions are the focus of the study.

      The purpose of this study aims at examining the impact of youth unemployment in the midst of the global financial crisis.  Both a quantitative survey and a qualitative case study are employed for this study.  It is hoped that this study will provide a clearer picture of the issues and will result in recommendations which could be suggested to the authorities concerned.

      The telephone survey was conducted between the 14th and 21st of January, 2009, from 6.15pm to 10.15pm.  The target interviewed were the registered members of our youth employment network.  By random sampling, 534 non-students aged between 15 and 24 were successfully polled, yielding a response rate of 57%, with a standard error within ±2.2%.

      The case studies were conducted during the period 22nd December 2008 to 13th January 2009.  We successfully interviewed 20 unemployed young people comprising 17 males and 3 females.  Those participants interviewed needed to meet the following three criteria: (1) be unemployed for six months and over in the past year prior to the study; (2) aged between 15 and 24; and (3) desired to work in times of unemployment.

 The major findings are as follows:

1.      There is a pressing need for new measures to tackle the problem of youth unemployment.  The government and society are duty-bound to relieve the employment pressure of young people by giving them prompt and proper support under the continual attacks of the financial tsunami.

2.      Young people surveyed had a higher incentive to undertake further studies under the economic downturn; training institutes should actively respond to their needs. 

3.      Although many respondents said they were willing to go through the hard times with their employers, they could hardly put that into practice.  Yet most respondents said they would not accept any new demands from their employers. 

4.      Case study on 20 unemployed persons manifested the urgent needs of the following young people, including those with lower educational attainment, people with specific learning disabilities, new arrivals and tertiary graduates. 

5.            Young people had negative feelings during the period of unemployment; the longer the time of unemployment, the higher the pressure to endure.  In the case study on 20 interviewees, it finds that continuous unemployment made them suffer in the eight aspects below: 

i.          Pressure from family members

ii.                   Social circle narrowed

iii.                  Economic independence postponed

iv.                  Losing confidence

v.                    Negative feelings

vi.                  Feeling disconnected with the society

vii.                 Being prone to temptation

viii.               Losing work motivation

6.    Respondents were unhappy about the government’s efforts to solve unemployment, particularly among the unemployed.  This will pose a potential threat towards the stability of society if these grievances are not properly handled.

7.   Many respondents said pressure mostly came from themselves while being unemployed and their mother gave them most support.

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