The Impact of a Global Recession on Millennials in the Job Market

Introduction

The world is a constantly changing environment filled with uncertainty. The occurrence of the Coronavirus (Covid-19) pandemic was unexpected and it brought about various changes, not only in the personal lives of people but to the global economy as well. The pandemic forced drastic changes in the workplace such as opting for employees to work virtually or retrenching certain employees due to financial constraints (Agius, Robertson, Kendrick, Sewell, Stewart & McKee, 2020). Some of these changes were challenging, especially those that were highly dependent on technology to get the work done. Even though the fourth industrial revolution (4IR) was already in motion, it was a steady change, whereas the pandemic was accompanied by an abrupt shift towards the use of high tech. It is common that workplaces usually prefer employees with the most experience in the industry. Highly experienced employees are usually part of the baby boomers generation and generation X (Venter, 2017). A large number of millennials joined the workforce in recent years which makes it impossible for them to have greater work experience compared to past generations. The millennial generation is mostly made up of people considered to be part of the youth (LaCore, 2015). The global youth unemployment rate is on a constant rise. According to the International Labour Organization, the global youth unemployment rate increased from 13.1% in the year 2017 to 14.6% in the year 2020. This is due to various factors such as increased population, lack of skills or qualifications and an inadequate supply of jobs. The pandemic has also greatly altered the landscape for young people trying to enter the job market, especially for those in middle-income countries such as South Africa, Brazil, Argentina and Peru.

Technology continuously transforms the labour market opportunities for young people. Furthermore, millennials are the first generation born in a digital era and to grow up with the development of technology. They consume technology differently which results in them being change agents in the workplace by presenting technology-driven attitudes (Huyler, Pierre, Ding & Norelus, 2015). These attitudes are highly suitable for the evolving workplace in a post-Covid environment. Covid-19 is one of the forces of globalisation that shaped millennials resulting in society becoming more interdependent and increasingly connected in terms of communication exchange, economic integration and cultural diffusions. Complex global social networks are leveraged by millennials, largely through social media platforms (Marjerison & Gan, 2020). These platforms have played a vital role in generating a basic income for the people that decided to monetise their social media activities such as becoming social media influencers for certain brands or creating content that is enjoyed by a large crowd.

The convenience of these social media platforms has created new industries and several start-ups. Access to advanced technological devices such as a smartphone and the internet allows for efficient problem-solving and uncovering of new perspectives (Hudders, De Jans & De Veirman, 2021). However, the use of the internet presents certain challenges such as being cyber bullied, data tracking and issues regarding cyber security where social media accounts with a large following risk being hacked into for the benefit of the hacker, which can be a financial benefit (Pornsrimate & Khamwon, 2021). The challenges and benefits of using the internet have the potential to give rise to new innovative business ideas. These ideas are suitable for a post-Covid environment to keep the economy from plummeting due to business outcomes brought about by the pandemic. The impact of social media was evident in the decline of the global economy when social media platforms owned by Meta, previously known as Facebook, crashed for a few hours on the fourth of October 2021. The outage of these platforms did not only have an impact on entertainment, but it affected cryptocurrencies, creation of virtual reality, live streaming, Russian oil trade, trading in London and numerous small businesses, especially those developed during the pandemic, that are dependent on these platforms (Sekścińska & Jaworska, 2022).