According to World Bank figures, youth incomes contracted by 15% between 2020 and 2022. Regarding International Youth Day, which was celebrated on August 12, it is pertinent to expose one of the most concerning cases of the present and how it can be faced with pathways of solutions. The region of Latin America is currently confronting a socioeconomic challenge of great magnitude: youth unemployment. This issue affects the generation in charge of the future of these countries and raises crucial questions about economic development, equity, and social stability in the continent.
Youth unemployment, which refers to the percentage of individuals between the ages of 15 and 24 who lack employment, education, or training, has emerged as an extremely serious issue. According to data provided by the International Labor Organization (ILO), this region has some of the highest youth unemployment rates in the world, reaching over 20% in certain countries.
At the same time, this reality not only exposes millions of young people to uncertainty in terms of adequate sustenance but can also trigger a massive presence of young people in criminal activity, which would undoubtedly hinder social cohesion and the overall economic advancement of the area.
The causes of youth unemployment in Latin America are deeply intertwined and multifaceted, making a one-size-fits-all solution untenable, and several factors contribute to this crisis.
On one hand, Latin America’s vulnerability to economic fluctuations, driven by global market dynamics has created an environment of uncertainty that hampers job creation and investment. And several factors can be recognized as the triggers of a problematic economy. For example, over-concentration in specific sectors, such as agriculture or mining, can limit an economy’s ability to absorb external shocks. That is why Interactive Contact Center as a BPO, has become a prominent avenue for young people to channel their potential.
According to recent data, the number of young individuals working at ICC has witnessed a significant surge in recent years. Only in 2022, a significant part of the global ICC workforce consisted of individuals under the age of 30. This trend signifies a shift in the perception of contact centers from being mere entry-level jobs to becoming hubs of learning and development, which is very relevant as a new way of diversifying the Latin American country’s economies.
On the other hand, limited access to education is a reality. In Latin America there is often a stark contrast in the quality of education between urban and rural areas. Urban centers tend to have better-equipped schools, qualified teachers, and access to modern teaching materials, while rural communities face resource constraints. Added to that, low-income families often struggle to afford quality education, including tuition fees, textbooks, uniforms, and transportation costs. This perpetuates a cycle of inequality, where children from
disadvantaged backgrounds have limited access to the educational opportunities that could help them break free from poverty.
Sometimes the most complicated part of getting out of that cycle is to move from informal jobs, in which they usually do not have all the benefits or social security, to a reformed labor environment, in which the young people have the right to a fully constituted job, which will undoubtedly open the doors to a more stable labor market.
Also, we are now in the digital age, and access to technology and digital literacy skills are critical for education and future employment. However, many students in Latin America lack access to computers, the internet, and the skills needed to navigate these tools effectively. Therefore, establishing vocational training programs that equip youth with practical skills can empower them to adapt to this technological environment and to enter the job market with some knowledge and, not less importantly, confidence.
Pathways to Solutions
Addressing youth unemployment in Latin America requires a comprehensive approach that combines efforts from governments, businesses, educational institutions, and civil society:
For example, governments play a crucial role in steering their economies toward greater resilience and sustainable growth by diversifying beyond commodity exports. Embracing innovation and strategically attracting industries that rely on a skilled workforce can drive significant transformation. By investing in research and development, promoting entrepreneurship, and providing conducive environments for technological advancement, governments can create ecosystems that nurture innovation and attract forward-thinking industries. This shift not only reduces the vulnerability associated with relying solely on commodity exports but also paves the way for higher-value, knowledge-based sectors. Through collaboration between the public and private sectors, coupled with robust vocational training and education initiatives, governments can build the foundation for a skilled workforce that meets the demands of these emerging industries, fostering long-term economic prosperity and global competitiveness.
Additionally, establishing vocational training programs plays an important role in nurturing the potential of the youth and preparing them for the complexities of the job market. These programs go beyond theoretical knowledge, providing hands-on practical skills that are directly applicable to real-world professions. By offering a tailored education that aligns with industry demands, young individuals are empowered to confidently step into various sectors of the job market. Whether it’s technical skills, craftsmanship, or specialized trades, these programs instill a sense of competence and self-assurance within the youth. Equipped with the proficiency gained through vocational training, they can effectively bridge the gap between academic learning and professional application, ensuring a smoother transition into meaningful and sustainable careers.
Catalyzing Transformation
In our unwavering commitment to activate this transformative endeavor, Interactive Contact Center (ICC) stands at the forefront. Drawing from our experience, we have been steadfastly dedicated to not only aiding young individuals in achieving their immediate goals but also in facilitating their journey towards holistic personal and professional development. At the heart of our approach lies a deep-rooted belief in the pivotal role played by fostering innovation, nurturing inclusivity, and cultivating a diverse skill set.
Innovation, often touted as the lifeblood of progress, is seamlessly woven into the fabric of our approach. Young minds are inherently inquisitive, poised to explore uncharted territories and question conventional wisdom. Within the nurturing confines of ICC, we provide an environment that not only encourages curiosity but also empowers these individuals to craft innovative solutions to real-world challenges. This incubator of creativity not only benefits the individuals themselves but also enriches the collective tapestry of ICC’s operations.
Inclusion, another cornerstone of our philosophy, resonates deeply with the ethos of the modern age. Diverse voices and perspectives have emerged as the driving force behind comprehensive growth, both at the individual and organizational levels. We understand that young individuals, with their varied backgrounds and experiences, contribute to the vibrant mosaic that is ICC. By giving inclusivity the recognition, it deserves, we acknowledge the importance of creating an environment where ideas flow freely, collaborations thrive, and young talents find their voices amplified.
ICC Academy: Shaping Skills, Shaping Futures
The acquisition of skills, in a world characterized by rapid change, has now become a lifelong pursuit. At ICC, we are unwavering in our commitment to equipping young individuals with a versatile skill set that transcends the confines of their immediate roles. The ICC Academy, an embodiment of this commitment, serves as a nurturing ground for skill enhancement. It is here that young minds engage with a diverse curriculum encompassing not only technical proficiencies but also crucial interpersonal skills. Through this holistic approach, we ensure that our young talents are primed not just for present success but for enduring triumphs.
Academy is a comprehensive professional development initiative designed to empower agents across all ICC accounts. This succession program is established for training future supervisors, quality assessors, training specialists, and recruiters, promoting internal growth within the company. The Academy thus becomes a fundamental platform for agents to prepare and acquire the necessary skills when the opportunity arises to advance into staff roles. The training program lasts two months and has benefited around 180 people to date.
Among those who have benefited from this program is Erika D., a customer service agent at ICC, who tells us about her experience: “I can say that my experience at the Academy has been very enriching. It prepared me to know how to approach agents and how to react in different situations that we face daily in our jobs. In addition to that I learned a lot about the Excel tool, which helped me to do my job in a more efficient and faster way. I loved discovering what my type of leadership is and working based on that.
Our journey at ICC resonates with a deep-seated belief that the evolution of the workforce is intrinsically tied to the empowerment of young individuals. By fusing innovation, inclusion, and skill acquisition, we set the stage for a future where these individuals not only achieve their aspirations but transcend them. With each interaction, each opportunity, and each achievement, we take a step closer to nurturing a generation that will lead with resilience, creativity, and a profound sense of purpose.
