Black economic outlook for young people: difficulties bring to an end, fees Lowdemographic weight loss and retirement, a future in which their earning capacity will likely be lower than their already battered working lives. Of course, there are differences within the group because the better educated have much better living standards and prospects. This situation is also seen in the Constitutional Court report. BBVA Foundation and Valencian Institute for Economic Research (IVIE) ‘The present and future of Spanish youth. A socioeconomic perspective’.
The study concludes that the youth of this country, and therefore the youth of Valencia, do not benefit from homogeneous conditions, but in general a significant part of them has access to social media. labor market with difficulties and its weight in the unemployed population is twice that in the working population. This insecurity This explains why young people aged 16 to 29 who have become independent and breadwinners have an income 15% below the average (€16,000) and those who are poor have an income up to 40% lower (€11,000). High education. Moreover, 53.2% of people in this age group experience financial difficulties; This rate is 5.4 points above the average. Of course, “socioeconomic factors of origin and education indicate significant differences” among members of this group.
economic cycle
The report was led by Francisco Pérez, director of IVIE, assures that “young people are more exposed to the ups and downs of the economic cycle and the average quality of their work is worse.” In fact, 25.4% of these people work on part-time contracts; This rate is twelve points above the total population and the temporary employment rate is twice the average. As if all this wasn’t enough, their salaries are 35 percent below average and their incomes grow “slower” throughout their working lives, so previous generations have reached a contribution base similar to the average before age 27. Young adults currently 34 years old have not yet reached this level.
Remarkable panorama This group facing retirement is not encouraging at all. And the reality is that the worse employment history of many young people, due to persistent difficulties in finding work and slow improvement in their wages, “has consequences for the social contributions they have accumulated and are likely to have” when they retire, because in a contributory system like Spain’s “better quality “The same factors that support a working life also support a retirement with a better quality of life.” If the young person’s working career was “short-lived, the level of pension will not be sufficient to maintain the previous standard of living.”
Pension
Taking all this into consideration retirement sustainability issue: “If the retirement age is not extended, possible reforms to the system that will financially secure these rights in the future will result in the pensions of young people today being lower compared to their last salary than that of current retirees”. We must not forget that, as the report states: reducing the impact of youth demographic weight loss (14.8% of total) In public policies, their problems – especially problems of participation in the workforce – are relegated to the background compared to other large groups.