• YOUTH: Mexicans younger than 30 years of age are expected to be hardest hit by the coronavirus economic aftershock. Experts are predicting larger unemployment rates among young Mexican workers just like it happen after the global financial crisis of 2008.
• CONSEQUENCES: The unemployment rate for Mexicans younger than 30 is estimated to be at 18%, more than double than the 8% unemployment rate for Mexicans between 30 and 65 years-old according to official data analyzed by Acción Ciudadana Frente a la Pobreza, a Mexican NGO.
• SIGNS: “It is expected that this group will suffer more in an economic crisis and the first data confirms that employment among this segment (of the workforce) decreased more than for other groups”, says David Kaplan, a labor market specialist at the Inter-American Development Bank (IDB).
• FORECAST: Last week, Mexico’s central bank (Banxico) projected job losses between 800,0000 and 1.4 million for 2020. Only a handful of Mexican states guarantee an unemployment insurance. The Mexican economy is expected to contract up to 8.8% of GDP according to Banxico.
