NY Fed: Remote Work Fuels 64% of Youth Unemployment
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- New York Fed reports youth unemployment for recent college graduates rose to 5.6% in March 2026 from 3.6% in March 2019.
- Remote work is estimated to explain 64% of the recent increase in youth unemployment, per the Fed’s analysis.
- Gallup’s May 2025 survey finds only 6% of Gen Z workers prefer fully on‑site jobs, while 71% favor hybrid arrangements.
- Undisclosed Fortune 500 company hired fewer inexperienced workers during the pandemic, citing difficulty delivering training and mentorship remotely.
- U.S. Department of Labor research (2024) shows industries with higher remote‑work rates posted larger productivity gains, yet this may reduce incentives to hire entry‑level staff.
Why it matters: Employers lose the ability to onboard fresh talent efficiently, while recent grads miss critical early‑career experience, potentially reducing lifetime earnings and widening skill gaps in the tech sector.
