China has decided to suspend the publication of youth unemployment data, which was at record rates, above 20%. The decision is based on the "economic and social changes that require an improvement and optimization of labor statistics" and raises new doubts about access to economic information from the Asian giant.
The official unemployment rate among China's urban youth, which began being counted in 2018, hit a new all-time high in June at 21.3%. The spokesman for the National Statistics Office Fu Linghui explained on Tuesday that, in recent years, there has been an increase in the number of students in Chinese cities, which raises questions about whether they should be "included or not" in the surveys. employment, China National Radio reported today.
According to official data, of the 96 million urban youth between the ages of 16 and 24 who enter the statistics, more than 65 million were students. "There are different views on whether job seekers before graduation should be considered as part of the labor force," Linghui said. As they also lengthen their studies, the question also arises about what ages should define the group.
Youth unemployment has soared since last year, a sign of a weakening economy as companies cut back on hiring, but also of the effects of a crackdown on the tech sector, once a lucrative industry for many young people. .
The youth unemployment data is politically sensitive for a Communist Party that seeks to maintain social stability. The move is an example of how Xi Jinping's government is limiting access to information to protect data it considers confidential and to shape the narrative about the weakening economy. After a promising start to the year, the post-pandemic recovery of the Chinese economy shows signs of slowing down, growing less than expected in the second quarter (6.3% year-on-year).
Over the past year, China has limited access to business data, court documents, academic journals and experts, hampering investors' ability to gauge the economy.
