Recently, China’s National Bureau of Statistics announced it would suspend the release of youth unemployment data. Currently, China’s youth unemployment rate remains high, consistently breaking records. A substantial number of young people find themselves “unemployed upon graduation.” (Video Screenshot)
[November 6, 2024] As China’s economy continues to decline, the issue of unemployment has grown increasingly serious. Recently, many mainland Chinese netizens have been lamenting online about being out of work and unable to find jobs, creating an outcry of misery.
“Born in 2000, unemployed for over half a year, feeling depressed, deeply anxious, with debts over 50,000 yuan.”
“At 37, I’ve been jobless for three years. I searched for work initially, but was turned down for being ‘too old.’ I’ve given up, returned to my hometown, and am just lying low.”
“I’ve been unemployed for four months. The people around me who are employed don’t dare to resign; they endure everything, no matter how hard or tiring it is.”
“There’s no work to be found in Beijing now.”
According to a report by Radio Free Asia, a recently unemployed woman posted a video on Douyin tearfully saying, “I might not be able to go on.” She added, “Everyone’s been saying that many large companies are laying off staff in 2024, but I didn’t expect to be one of them. I went to work happily this morning, only to have the boss call an emergency meeting in the afternoon to announce that today would be our last day.”
The woman, in her 30s, explained that finding a job now is difficult and described her financial burdens, which exceed 10,000 yuan monthly, including mortgage, utilities, food, and credit card payments. “Sudden unemployment caught me completely off guard,” she said. “Being unemployed in middle age, with parents above and children below—how am I supposed to move forward?”
According to data released by China’s National Bureau of Statistics on September 20, the unemployment rate for those aged 16-24 (excluding students) was 18.8%. Kevin Cheng, a popular internet personality, pointed out that “this means nearly one in five young people is unemployed. And this is with just one hour of work per week counted as ‘employment,’ which shows how difficult it is for young people to find jobs.”
Libraries in Major Cities Filled with the Unemployed
A young Wuhan University graduate revealed online that to keep their family from knowing they were unemployed, many people sit in libraries every day, pretending to be at work.
The young person said, “It’s been over four months since I was laid off, and I’ve been pretending to go to work ever since. I leave home around 7 a.m. and arrive at the library by 8 a.m., but it’s already hard to find a seat by then. You wouldn’t imagine how many people like me are sitting in the library, pretending to be working.”
However, seasoned financial commentator Cai Shenkun told Radio Free Asia that the unemployment problem in China has yet to reach its peak.
“I believe the unemployment problem will only worsen. Many people are lamenting on platforms like Douyin, Kuaishou, and Xiaohongshu. Some may be doing it for attention, but many are genuinely reflecting the current reality,” Cai said, adding that this reflects the basic state of unemployment in China.
A Large Unemployment Wave Is Imminent
According to an analysis published in July on WeChat’s public account "Investment Banking Circle," traditional retail giants like Suning and Gome are struggling as they fail to adapt, impacted by e-commerce, rent costs, and other challenges. China’s brick-and-mortar retail industry has seen an estimated 320,000 store closures over the past three years, with at least 4,181 more closures in the first half of last year, according to an incomplete survey by Yilan Business.
Beyond retail, the construction industry has also faced massive layoffs. Since 2023, more than 1,300 construction companies have filed for bankruptcy and reorganization, alongside nearly 20 cement companies, 23 concrete companies, and 6 sand and gravel companies.
China’s top tech companies are also laying off staff. Alibaba has cut over 20,000 employees in 2024 alone. Tencent has been reducing its workforce since 2022, cumulatively shrinking by about 10% as of 2024.
One internet industry worker shared, “The internet market is bleak right now, and my company holds large layoffs almost every three months.”
The automotive industry has not been spared, either. Li Auto laid off 5,600 employees, and GAC Honda cut 2,300 positions.
Gao Laoshi, founder of Stock Dynamics Consulting, recently predicted in a video, “In the coming years, we’ll see a significant wave of unemployment, with nearly half of the workforce being eliminated. This is not an exaggeration but something real that’s about to happen.”
He emphasized that economic adjustments have a delayed ripple effect. “By the time you realize it, the storm will already be here.” He advised viewers to avoid starting businesses, resigning, or investing during economic downturns. “The best approach is to ‘tighten your purse strings.’”
Editor: Li Muen
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