2026-02-25 · NextMigrate Team
My Kids Will Graduate Into This Job Market? Youth Unemployment Rates Around the World
There is a moment that every parent dreads. Your child finishes university — four years of tuition, textbooks, sleepless nights, and sacrifice — and then sits at home for months, even years, sending out applications into a void.
In some countries, this is a rite of passage. In Nigeria, it has a name: "home service" — the unpaid, indefinite waiting period between graduation and first employment. In India, the phrase is "educated unemployed." In Egypt, university graduates wait an average of three years for their first formal job. In the Philippines, underemployment is so normalized that a college-educated professional driving a tricycle barely raises an eyebrow.
In other countries, this experience barely exists. In Germany, youth unemployment is so low that companies actively compete for graduates. In Canada and Australia, career services begin before graduation, and most students have job offers before they collect their diplomas.
This article is about that gap — and what it means for your children's future.
The Numbers: Youth Unemployment by Country
Youth unemployment is defined by the ILO as the percentage of people aged 15-24 who are actively seeking work but cannot find it. But this number alone is misleading. You also need to look at the NEET rate (Not in Education, Employment, or Training) and the underemployment rate to get the full picture.
Youth Unemployment Dashboard (2024-2025 Data)
| Country | Youth Unemployment Rate (15-24) | NEET Rate (15-24) | Graduate Unemployment Rate | Average Time to First Job After Graduation |
|---|---|---|---|---|
| Nigeria | 42.5% | 34.2% | ~40% | 2 - 5 years |
| India | 23.2% | 28.6% | ~30% (varies by field) | 1 - 3 years |
| Philippines | 12.8% | 18.5% | ~22% | 6 months - 2 years |
| Egypt | 29.4% | 31.8% | ~34% | 2 - 4 years |
| Pakistan | 11.5% (official, widely disputed) | 34.6% | ~25% | 1 - 3 years |
| Canada | 10.8% | 10.2% | ~8% | 3 - 6 months |
| Australia | 9.6% | 9.8% | ~7% | 3 - 6 months |
| UK | 11.4% | 11.6% | ~9% | 3 - 8 months |
| Germany | 5.8% | 6.2% | ~4% | 1 - 3 months |
| New Zealand | 10.2% | 10.8% | ~7% | 3 - 6 months |
| UAE | 7.2% (expat population) | N/A | ~10% | 2 - 6 months |
Read that Nigerian number again: 42.5% youth unemployment. That means for every 10 young Nigerians actively looking for work, fewer than 6 can find it. And the NEET rate of 34.2% means a third of all young Nigerians are not working, not studying, and not in training. They are simply waiting.
Germany's 5.8% is not a typo. It is the product of a deliberate system — one that connects education to employment in ways that most countries have not replicated.
Why the Gap Exists: Structural Factors
Youth unemployment is not just about the economy. It is about how education systems connect to labor markets, how industries absorb new workers, and how governments invest in transition support.
The Disconnect Between Education and Employment
In many developing countries, university curricula bear little relationship to employer needs. Nigerian universities graduate roughly 600,000 students per year, but the formal economy creates only about 90,000-150,000 new jobs annually. The arithmetic is brutal: for every job, there are 4-7 qualified candidates, and the "qualification" itself may not match what employers actually need.
India faces a version of this problem at even larger scale. The country produces roughly 10 million graduates annually. According to various employability surveys, only 40-55% of engineering graduates are considered employable by industry standards. The gap between what universities teach and what employers require is enormous.
Job Creation Rates by Country
| Country | Annual New Job Creation (approximate) | Annual New Graduates | Ratio (Jobs per Graduate) |
|---|---|---|---|
| Nigeria | 90,000 - 150,000 formal | ~600,000 | 0.15 - 0.25 |
| India | 5 - 7 million formal | ~10 million | 0.5 - 0.7 |
| Philippines | 800,000 - 1 million | ~700,000 | 1.1 - 1.4 |
| Egypt | 400,000 - 600,000 | ~800,000 | 0.5 - 0.75 |
| Canada | 350,000 - 450,000 | ~300,000 | 1.2 - 1.5 |
| Australia | 300,000 - 400,000 | ~280,000 | 1.1 - 1.4 |
| Germany | 600,000 - 800,000 | ~500,000 | 1.2 - 1.6 |
| UK | 500,000 - 700,000 | ~450,000 | 1.1 - 1.6 |
When the ratio of jobs per graduate drops below 1.0, you have a structural surplus of graduates. Competition becomes fierce, wages stagnate or fall, and "connections" matter more than qualifications. In Nigeria, with a ratio of roughly 0.2, the job market is not competitive — it is a lottery.
The German Model: Why 5.8% Youth Unemployment Is Not an Accident
Germany's low youth unemployment is the direct result of its dual education system (Duales Ausbildungssystem), which has been studied and admired worldwide but rarely replicated successfully.
How It Works
At age 15 or 16, roughly 50% of German students enter a three-year apprenticeship (Ausbildung) that combines:
- 3-4 days per week of paid work at a company
- 1-2 days per week of classroom instruction at a vocational school (Berufsschule)
There are over 320 officially recognized apprenticeship professions in Germany, covering everything from mechatronics to banking to healthcare to IT. Apprentices earn between EUR 800 and EUR 1,400 per month during training. At the end, they receive a nationally recognized qualification and, in most cases, a job offer from their training company.
The Numbers Tell the Story
| Metric | Germany | Nigeria | India | Philippines |
|---|---|---|---|---|
| % of youth in apprenticeship/vocational training | ~50% | ~3% | ~5% | ~8% |
| Employer involvement in curriculum design | Very high (mandatory) | Minimal | Growing | Limited |
| Apprentice completion rate | ~90% | N/A | N/A | N/A |
| Transition rate (training to employment) | ~68% stay at training company | N/A | N/A | N/A |
| Average months from qualification to first job | 1-3 months | 24-60 months | 12-36 months | 6-24 months |
The German system works because employers are directly invested in training. Companies spend an average of EUR 20,000 per apprentice per year — because they understand that training their own workforce is cheaper and more effective than competing for scarce talent on the open market.
The University Track in Germany
For the 50% of German students who pursue university, the outcomes are also strong. German universities maintain close ties with industry. Internships and practical semesters are built into most degree programs. Career services are robust. And the low tuition (free at public universities) means graduates enter the job market without the debt burden that constrains graduates elsewhere.
Canada and Australia: The Immigrant Advantage
Here is something counterintuitive: in Canada and Australia, immigrants and their children often outperform native-born populations in educational attainment and employment outcomes. This is not feel-good rhetoric — it is well-documented in census data.
Graduate Employment Outcomes in Canada
| Metric | All Canadian Graduates | Immigrants' Children | Recent Immigrants (5+ years) |
|---|---|---|---|
| Employment rate (6 months post-graduation) | 87% | 89% | 82% |
| Employment rate (2 years post-graduation) | 93% | 95% | 91% |
| Median starting salary | CAD $48,000 | CAD $50,000 | CAD $44,000 |
| % employed in field of study | 72% | 74% | 65% |
The children of immigrants to Canada — the so-called "second generation" — are among the most educated and highest-earning demographic groups in the country. A 2023 Statistics Canada study found that children of immigrants earn 5-10% more than children of Canadian-born parents with similar educational backgrounds.
Why? Researchers point to several factors:
- Immigrant families tend to place extremely high value on education
- Canada's school system is relatively equitable, meaning a child's postal code matters less than in most countries
- Multiculturalism and anti-discrimination policies create a more level playing field (though imperfect)
- Strong social safety nets reduce the risk of poverty derailing education
Australia's Post-Graduation Work Market
Australia's graduate outcomes tell a similar story:
| Field of Study | Employment Rate (4 months post-graduation) | Median Starting Salary (AUD) |
|---|---|---|
| Engineering | 89% | $72,000 |
| Computer Science/IT | 86% | $68,000 |
| Health Sciences | 91% | $65,000 |
| Business/Commerce | 78% | $60,000 |
| Arts/Humanities | 68% | $52,000 |
| Education | 92% | $66,000 |
| Law | 76% | $62,000 |
Even the "worst" performing field — arts/humanities at 68% — represents a higher employment rate than the best-case scenario for graduates in Nigeria, Egypt, or India.
The Hidden Problem: Underemployment
Youth unemployment statistics only capture people with zero employment. They miss the millions of young people who are working — but far below their qualification level.
Underemployment Among University Graduates
| Country | % of Graduates Underemployed (working below qualification) | Typical Example | Salary vs. Expected for Qualification |
|---|---|---|---|
| Nigeria | ~55% | Engineering graduate working as an Uber driver | 30-50% of expected |
| India | ~45% | Computer science graduate in call center | 25-40% of expected |
| Philippines | ~40% | Nursing graduate as department store sales clerk | 40-60% of expected |
| Egypt | ~50% | Accounting graduate as taxi driver | 20-40% of expected |
| Pakistan | ~40% | MBA working in family retail shop | 30-50% of expected |
| Canada | ~18% | Communications graduate in retail | 60-75% of expected |
| Australia | ~20% | Arts graduate in hospitality | 60-75% of expected |
| Germany | ~12% | Social science graduate in admin role | 70-80% of expected |
| UK | ~22% | History graduate in customer service | 55-70% of expected |
When you combine unemployment and underemployment, the picture in developing countries becomes even starker. In Nigeria, roughly 60-65% of university graduates are either unemployed or underemployed within five years of graduation. In Germany, that figure is under 18%.
The Salary Gap: What Your Child's Degree Is Actually Worth
A degree is an investment. The return on that investment varies enormously by geography.
Starting Salaries by Field and Country (USD, Annual)
| Field | Nigeria | India | Philippines | Canada | Australia | Germany | UK |
|---|---|---|---|---|---|---|---|
| Software Engineering | $3,000 - $7,200 | $5,000 - $12,000 | $4,800 - $9,600 | $55,000 - $80,000 | $60,000 - $85,000 | $50,000 - $70,000 | $38,000 - $55,000 |
| Mechanical Engineering | $2,400 - $4,800 | $3,600 - $7,200 | $3,600 - $6,000 | $55,000 - $72,000 | $60,000 - $78,000 | $48,000 - $65,000 | $32,000 - $48,000 |
| Accounting | $2,000 - $4,200 | $3,000 - $6,000 | $3,200 - $5,400 | $45,000 - $58,000 | $50,000 - $62,000 | $42,000 - $55,000 | $28,000 - $42,000 |
| Medicine (first year) | $3,600 - $7,200 | $6,000 - $14,400 | $6,000 - $12,000 | $55,000 - $65,000 (residency) | $70,000 - $85,000 | $55,000 - $68,000 | $35,000 - $40,000 |
| Teaching | $1,200 - $3,600 | $2,400 - $5,400 | $3,600 - $5,400 | $42,000 - $55,000 | $52,000 - $68,000 | $48,000 - $60,000 | $30,000 - $40,000 |
| Nursing | $1,800 - $3,600 | $2,400 - $4,800 | $3,600 - $6,000 | $58,000 - $75,000 | $62,000 - $80,000 | $38,000 - $50,000 | $30,000 - $38,000 |
A software engineer in Nigeria earns $3,000 - $7,200 per year. The same qualification in Canada yields $55,000 - $80,000. That is not a marginal difference — it is a 10-20x multiplier. Even adjusting for purchasing power parity and cost of living, the gap remains enormous.
For a parent, this is the core question: is it worth spending four years and significant money on a degree that will earn your child $3,000 per year in a country where they might not find any job at all? Or would the same child, educated in Germany or Canada, earn 10-20 times that amount with a near-certainty of employment?
The Informal Economy: What the Statistics Hide
In Nigeria, India, and Pakistan, a significant portion of economic activity occurs in the informal sector — unregistered businesses, cash transactions, no contracts, no benefits.
Formal vs. Informal Employment Among Youth
| Country | % of Youth in Formal Employment | % of Youth in Informal Employment | % Unemployed/NEET |
|---|---|---|---|
| Nigeria | ~12% | ~54% | ~34% |
| India | ~20% | ~52% | ~28% |
| Philippines | ~32% | ~50% | ~18% |
| Egypt | ~18% | ~50% | ~32% |
| Pakistan | ~15% | ~51% | ~34% |
| Canada | ~78% | ~12% | ~10% |
| Australia | ~80% | ~10% | ~10% |
| Germany | ~85% | ~9% | ~6% |
Informal employment means no pension contributions, no health insurance, no legal protections, no career progression, and no stability. A young Nigerian working informally is not "employed" in any meaningful sense of the word — they are surviving.
The Brain Drain Debate
When educated young people leave countries like Nigeria and India for better job markets, it is called "brain drain." Governments and commentators frame it as a loss. And at the national level, it is — countries lose the investment they made in educating those individuals.
But at the individual and family level, the calculation is different.
The Individual Math
Consider a Nigerian computer science graduate:
Scenario A (Stay in Nigeria):
- 40% chance of unemployment in year 1-2
- If employed: ~$4,800/year starting salary
- 55% chance of underemployment
- Cumulative earnings over 10 years: ~$36,000 - $60,000
Scenario B (Migrate to Canada):
- ~90% chance of employment within 6 months
- Starting salary: ~$65,000/year
- Career growth: $85,000 - $120,000 by year 5
- Cumulative earnings over 10 years: ~$750,000 - $950,000
The lifetime earning difference approaches $1 million. For one person. Multiply that by a family with two or three children, and the stakes become generational.
What Countries Are Doing to Fix Youth Unemployment
Some developing countries are actively addressing the gap, with varying degrees of success.
Reform Efforts and Their Impact
| Country | Key Initiative | Scale | Measured Impact |
|---|---|---|---|
| Nigeria | N-Power (government work program) | 500,000 beneficiaries since 2016 | Temporary jobs, limited career pathways |
| India | Skill India Mission | 14 million+ trained since 2015 | Employment rate of trainees: ~25-35% |
| Philippines | TESDA (Technical Education) | 2.5 million+ trained annually | Employment rate: ~65-70% |
| Egypt | National Employment Pact | Targets 900,000 jobs/year | Early stage, limited data |
| Rwanda | Digital Ambassadors Program | Growing | Promising early results |
These programs help at the margins, but none has fundamentally altered the jobs-to-graduates ratio. The structural problem — too many graduates, too few formal jobs, too little connection between education and industry — requires systemic reform that takes decades.
The UAE Exception: Jobs Without Permanence
The UAE presents a unique case. Youth unemployment among the expat population is low (roughly 7%), and starting salaries are competitive:
| Field | Starting Salary in UAE (AED/year) | USD Equivalent |
|---|---|---|
| Software Engineering | 120,000 - 220,000 | $33,000 - $60,000 |
| Civil Engineering | 84,000 - 150,000 | $23,000 - $41,000 |
| Finance/Accounting | 96,000 - 180,000 | $26,000 - $49,000 |
| Healthcare (Nurse) | 72,000 - 120,000 | $20,000 - $33,000 |
| Teaching | 84,000 - 156,000 | $23,000 - $42,500 |
The catch: the UAE does not offer permanent residency to most workers. Your child can work there for years or decades but can be let go and required to leave the country within 30 days. There is no pathway to citizenship for the vast majority. No unemployment benefits. No social safety net.
For building a career, UAE works. For building a life — the kind of stable, rooted existence where your grandchildren grow up — it has fundamental limitations.
What This Means for Your Family
Let us be direct about what the data shows.
If your child graduates in Nigeria, India, Egypt, or Pakistan, they face a job market that is structurally hostile to new entrants. Not because they are unqualified, not because they lack ambition, but because the ratio of jobs to graduates makes employment a matter of luck as much as merit. Even those who find work often earn salaries that barely cover basic expenses, let alone building a home, supporting a family, or saving for the future.
If the same child graduates in Germany, Canada, Australia, or New Zealand, they enter a labor market where qualified graduates are actively sought by employers. Where starting salaries allow genuine financial independence. Where career progression follows effort and skill rather than connections and circumstance.
The difference is not about your child's ability. It is about the system they graduate into.
Germany has 5.8% youth unemployment not because German young people are smarter or harder working than Nigerian young people. It is because Germany built a system — spanning education, vocational training, industry partnerships, and labor market regulation — that creates pathways from education to employment.
Your child deserves a system that has a pathway waiting for them. The data could not be clearer about which countries offer that.
