Overview

• New entrants accounted for 13.4% of July’s unemployed, the highest share since 1988, according to Richmond Fed analysis of government data.
• Overall U.S. unemployment remains relatively low at about 4.2%, yet those without jobs are facing one of the toughest markets in years.
• People unemployed for 27 weeks or more made up 25.2% of the jobless, the largest share since February 2022.
• For Americans aged 22–27, unemployment reached 7.4% in the second quarter, with degree holders facing rates last seen in the early 2010s outside of 2020.
• Richmond Fed economist John O’Trakoun describes a “double-whammy” for Gen Z, noting many began college during pandemic-era remote learning.