Remote Work Deepens the Youth Hiring Gap

New York Fed analysis finds remote work explains about 64% of the rise in unemployment among young college graduates from 2017–19 to 2022–24, linking it to reduced on-the-job training and mentorship in distributed teams. Older workers in remotable roles fared better, while non-remotable roles showed smaller shifts. Firm data show proximity boosts feedback and output, and some return-to-office policies coincided with more junior hires post-pandemic. The authors say AI is not the main driver of the trend, though future effects remain possible.