During 2020-2023, the contribution of youth (those aged 15- 24) to the Georgian labor market declined. In particular, youth’s performance in key labor market indicators decreased over the reporting period, even though during this time the proportion of youth among the total population aged 15 and older remained stable.
The decreasing youth labor force participation has been driven by emigration. Between 2020 and 2023, a considerable number of youth left the country, most of whom were unemployed and seeking jobs.
The increase in higher education correlates with a drop in youth labor force participation. Many of youth felt discouraged from entering the workforce and instead chose to pursue higher education, as evidenced by the increase in the number of students in Georgia.
From 2020 to 2023, some distinct challenges affected youth employment. Specifically, the noticeable decrease in the number of employed youth in this time could be at least in part attributed to barriers such as limited part-time job availability and working terms and conditions not aligning with youth preferences and educational commitments.
In Georgia, part-time job opportunities are lacking for youth, with only 9% of employed youth engaged in part-time employment in 2023, well below the EU average of 33%. This imbalance significantly impacts youth employment outcomes, essentially forcing many to choose between educational attainment and securing stable employment.
Approximately one out of every five young persons in Georgia neither works nor studies. Even though some progress has been made in integrating more youth into education, the high rate of those categorized as “Not in Education, Employment, or Training” (NEET) compared to the EU average demonstrates that this is a persistent obstacle for youth in transitioning from education to employment in Georgia.
In 2023, only 7% of youth worked and studied, while only 10% of youth enrolled in education had a job, suggesting that young people struggle to secure employment while studying.
Between 2020 and 2023, salaries for youth were on average 35% lower compared to the working-age population. Generally, salaries in the youth category increase with age and are closely linked to higher educational attainment and experience.
Gender disparity has a persistent effect on youth employment and educational choices in Georgia. More young men enter the labor force compared to young women, who also suffer from a widening gender pay gap on the labor market.
In 2023, there was no significant difference in youth labor force participation between rural and urban areas in Georgia. However, over the covered period for the entire working-age population, urban areas exhibited higher unemployment rates compared to rural areas, except in 2022.
In Georgia, youth employment is gaining increasing shares in service-related sectors and positions. Although agriculture remains the largest employer of youth in Georgia, its share decreased (-7 pp) from 2020 to 2023. Meanwhile, during the same period, the share of service and sales workers increased (+8 pp), a trend not visible in other age categories.
