With the cost of virtually everything rising these days, more teenagers are finding themselves searching for jobs -- not just for extra pocket money but to help their families make ends meet.
The current labor force participation rate for people ages 16 to 19 is 37.4%, according to the U.S. Department of Labor's jobs report for June. That's 3% more than this time last year, "and hovering near levels not seen since 2009, during the Great Recession," per USA Today.
Teens in the workforce typically work in highly seasonal industries that require minimal education, experience or training, such as leisure and hospitality, food services, retail trade, and entertainment/recreation sectors.
While teens in years past might have worked to save money for college or have some spending cash, having a job for today's teens is seen as a necessity as inflation leaves some families barely scraping by.
Alicia Sasser Modestino, a professor of economics and public policy at Northeastern University, told USA Today that more than half of teens work to contribute to household expenses (rent, utilities, groceries) or to cover their own expenses (cell phone, clothing, shoes). The report also indicates that two-thirds of teens pay for some kind of household bill.
"You look at where rents have gone, where the price of groceries has gone, then having teenagers working during the summer is absolutely essential," Modestino told the outlet. "The fact that things cost more means that more families have less money leftover for the other things that teens would want, clothes, eating out or going to the movies."
"That's when a lot of parents turn to their kids and say, 'Great, go get a job so you can pay for those extracurricular things you might want to do,'" she added.
A recent survey by Junior Achievement USA and Citizens of 1,000 teens between ages 13 and 18 shows that 78% are currently stressed out about money, while another 74% see their family's economic situation as a barrier to accomplishing their own future goals.
The data indicates the impact of stress on teens from years of pandemic-related financial strain and inflation is apparent:
• 50% of teens have been stressed about their parents' or caregivers' ability to pay bills over the past year.
• 37% of teens say that their parents or caregivers are working more hours and 21% report that their parents have cried or been upset over the ability to pay bills.
• 30% of teens are stressed about not being able to afford a post-high school education and 24% of teens are worried about losing their home due to their family's precarious financial situation.
• 32% of teens are concerned, 24% are scared, 18% are sad, and 13% are mad about how money impacts their lives.
"Stress can have a negative impact on physical and emotional health, and money worries can be a big cause of stress," Jack Kosakowski, President & CEO of Junior Achievement USA, said in a statement. "This research shows that many of the concerns adults have about managing money are being felt by the young people in their homes."