Youth Unemployment in Türkiye: Digital Transformation and the Education-Employment Mismatch

Özet

The Youth unemployment in Türkiye emerges as a critical socio-economic challenge shaped by structural inefficiencies in the labor market and the mismatch between educational outcomes and employment demands. Although the country’s large young population offers a potential demographic dividend, macroeconomic instability, sectoral imbalances, and limited job creation in high-skill domains keep youth unemployment rates persistently high. This study examines the economic dynamics of youth unemployment in Türkiye by focusing on two interrelated themes: the accelerating digital transformation of the labor market and the growing mismatch between education and labor market needs. While digitalization presents new opportunities—particularly in areas such as software development, data analytics, and digital entrepreneurship—many young individuals lack the necessary skills due to outdated curricula and limited access to vocational or technological training programs. The research further explores how regional inequalities, gender-based disparities, and informal employment affect young people’s job prospects. The findings underscore the need for a structural transformation of the Turkish education system to equip students with digital competencies and social skills aligned with market requirements. The study concludes with a set of policy recommendations, including early digital skills education, public-private partnerships for workforce development, and support for young entrepreneurs. These strategies aim to transform digital transformation into an inclusive opportunity and enhance the employability of Türkiye’s youth in the global economy.