We’ve heard from many Chicago-area families that their teens are having a hard time finding work, even when they want it. As costs increase and wages rise–the statewide minimum wage grew to $15 this year, and Chicago’s is up to $16.60–many businesses are hiring fewer workers.
And when that happens, young people with less training and experience often don’t make the cut. Look no further than the reductions many Chicago restaurants are making to their workforces.
Restaurants and service jobs are among the most popular for young workers. But as labor costs rise, many businesses are cross-training employees and cutting staff. As we’ve written, Chicago’s decision to continue increasing the tipped minimum wage won’t help.
The good news is that nationwide, overall youth unemployment has been declining. At the same time, rising school and university attendance has reduced the number of young people participating in the labor force, which in turn lowers the unemployment rate among that group.
In Chicago, the challenge is especially acute. More than 45,000 young people ages 16 to 24 were both out of school and unemployed in 2022, a figure that far exceeds both state and national benchmarks. Employment disparities are even starker for Black and Latino youth.
When it comes to youth jobs, the stronger the economy, the more opportunities there will be for teens trying to make some money while school is out and gain valuable experience.
But even when conditions aren’t ideal, the private sector has a role to play. The city of Chicago’s financial constraints are as tight as we can remember, and the city shouldn’t be the primary provider of summer jobs for teens anyway. As much as they’re able, private-sector employers should make summer work opportunities available and help soak up some of that excess demand for jobs.
Everyone in Chicago will benefit if more of our youth are gainfully employed while school is out.
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