High Unemployment Rate In China As 20 Million Become Jobless Amid Covid

BEIJING: Due to the Covid epidemic, almost one out of every five Chinese people is unemployed and suffering from severe unemployment.

According to a report, China's cities and towns are home to almost 20 million unemployed people between the ages of 16 and 24. According to sources, the 107 million urban youth listed in the official numbers do not account for rural unemployment.

According to the article, one in five Chinese are unemployed due to severe unemployment brought on by the Covid epidemic, and the nation is experiencing an economic downturn as a result of major Chinese enterprises laying off workers.

Xiaomi undertook a "regular personnel optimization and organisational streamlining," according to a spokeswoman for the firm who said that the action only affected less than 10% of the employees. Xiaomi, one of the biggest manufacturers of smartphones worldwide, has also been letting go of staff members.

The first nine months of 2022 saw an almost 1,900% staff reduction at Xiaomi, according to documents.

According to the education ministry's prediction from last month, 11.6 million college graduates will enter the job market in the coming year, setting a new record. As a result, the situation could get worse, according to reports.

The Hong Kong Post claims that "With an increase from 15.3% in March to a record 18.2% in April, China's youth jobless rate has reached new highs this year. The following several months saw it rise even further, hitting 19.9% in July. According to figures from the National Bureau of Statistics, the rate decreased somewhat to 18.7% in August but is still among the highest recorded."

"Young people in China are currently experiencing the biggest employment crisis in more than 40 years. For the Communist Party, mass unemployment is a major obstacle "The Jamestown Foundation senior fellow, Willy Lam, was reported by The Hongkong Post as saying. 

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