Young adults have been hit plenty hard by the recession. A recent study by Western Union Survey reveals that almost one in five members of Generation Y have lost their job.
The numbers paint a tough picture for a segment of the population still early in their working lives:
- 17 percent lost their primary jobs during the recession
- 56 percent were looking for new jobs
- 37 percent were looking for a second job to supplement their income
- 8 percent declared chapter bankruptcy.
Looking at the numbers, UPI declares this generation the one hit hardest by the recession.
Generation Y encompasses anyone born between 1979 and 1999. Many in this generation are just now entering college and others are just starting careers and their adult lives. Saddled with college bills and small savings accounts, many haven’t built up a security net like older individuals might have.
MSN Money suggests that while Generation Y’ers are the most educated, they are also the least financially literate.
“The median credit-card debt of low- and middle-income people aged 18 to 34 is $8,200,” they report.
On top of that, this age group may make up only 14 percent of the population, but they account for 22.7 percent of all chapter bankruptcy filings. It doesn’t help that they’re carrying an average of $20,000 in education loans.
The financial illiteracy isn’t entirely their fault, though. Gen Y-ers grew up in an “environment in which parents coddle their children” and “bank deregulation has made the financial landscape confusingly complicated.”
Growing up during the ‘90s, when consumerism was at an all-time high probably hasn’t helped their cultural views toward “must have items” either.
The Today Show notes that their education hasn’t always been much help either. The advanced degrees held by Gen Y makes it hard for them to get entry level jobs while they search for a job in their field. When one graduate applied to Whole Foods, the e-mail he received stated he was “far too overqualified for any of their hourly positions and as such would not be considered.”
If you’re a member of Generation Y and this article has you quaking in your boots, fear not, because there is one thing Gen Y does better than anyone else: Technology.
Gen Y-ers were raised with advanced technology, starting typing classes in elementary school. US News notes that although Generation Y may be impulsive in their shopping, they do know how to use the internet to shop for the best possible deal.
They also know how to apply for jobs online, and when they sign up for credit cards and other forms of debt they use electronic alerts.
Older generations may want to take a page from Gen Y in this regard, since paying credit card bills online is often easier and safer than paying through snail mail. Not to mention that alerts and updates from banks can even be sent to your cell phone, letting you know when your bank account gets low.
So if you are a Millennial, or you have one that’s boomeranged back to your basement, be patient. It could be a while before employment picks up, and your education gets the job it deserves. Gen Y-ers have the skills they need to get by once the Baby Boomers get out of the way.
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