Preparing young people for the jobs of the future is a complex task, even without the addition of AI tools. The question on everyone’s mind right now is: “Will AI cause unemployment?” While nobody knows for certain, experts continue to develop educated guesses about what the impacts of AI will be on the workforce, particularly on new entrants.
These new entrants are likely seeking entry-level jobs, which may be more easily automated. AI, combined with a general hiring slump across the United States, may make it more difficult for young people to start their careers. While the national discourse has focused on impacts on recent graduates, youth disconnected from school and work face increased unemployment, lower earnings, and worse health outcomes now and over their lifetimes, as compared to other youth and young adults. These disconnected youth, known as Opportunity Youth (OY), need a suite of supports that help them connect to meaningful career pathways.
Who are Opportunity Youth (OY)?
OY are young people aged 16-30 that are neither in school nor working. According to a recent Measure of America report, the 2022 (the most recent available data) national youth disconnection rate was 10.9%. Though this number is down from Covid peak, it still represents nearly 5 million young people nationwide. These young people often face increased barriers to program enrollment and completion, such as homelessness, health concerns, and competing priorities. Per Measure of America, OY are 2.0 times as likely to live in a household below the poverty line, 4.3 times as likely to be a mother, and 2.3 times as likely to have no health insurance, as compared to young people connected to school, work, or other training programs.
How States Are Finding Solutions
Several states are addressing OY needs through partnerships between nonprofits, training programs, social services, and the broader workforce system. Michigan’s Department of Labor and Economic Opportunity developed its Young Professionals program, helping OY overcome barriers to employment through career exploration, job skills development, and earn-and-learn opportunities. Colorado, Connecticut, Indiana, Maine, and New York are working with the Forum for Youth Investment BEST Youth Initiative Program, which aims to build statewide systems that support youth.
California is leading the way with state leadership focusing on improving access and outcomes for OY. Through Governor Newsom’s Master Plan for Career Education, the state clearly articulated that supporting OY is a key priority. The California state legislature emphasized this as well by passing ACR-16 in 2023, which directs the state to further research and invest in career development for OY. Corporation for a Skilled Workforce (CSW) has worked closely with the state to research the current policy and program landscape, developing recommendations to help the state improve outcomes.
Partnering for Youth Outcomes
OY rates are higher than average in California; 11.3 percent of youth, or 500,000 young people, are disconnected. Of this, youth aged 20-24 make up 75 percent of all disconnected youth in the State. Each of these individuals has their own unique story, needs, and interests and wants a program that meets them where they are. This represents an increasing challenge in California: how can the state operationalize its OY policy priorities to ensure long-lasting, equitable outcomes for a diverse group of young people?
California is working with a coalition comprised of CSW, the Hilton Foundation, WestEd, and UniteLA, to implement OY policy improvements at the local level with the goal of scaling those local improvements to respond to regional needs.
One such project, the Opportunity Youth Systems Change Demonstration Project in Los Angeles County, specifically addresses OY career pathways in the healthcare industry. The coalition launched this pilot program in September 2025, with its first cohort of three teams. Each team includes at least one youth voice, along with representatives from colleges, programs, and employers. These teams are working together to consider new, innovative solutions to entrenched programmatic difficulties in serving OY. The young leaders embedded in each team are fully included in all aspects of program design; they are paid for their time and receive additional leadership training and support.
Design Thinking for Policy Solutions
The Opportunity Youth Systems Change Demonstration Project is unique in its approach to problem-solving because of its use of design thinking principles, which are often leveraged to develop innovative technological and business solutions to improve systems. CSW, WestEd, and UniteLA developed a version of design thinking specifically tailored to OY programs, which focuses on data analysis, partnership engagement, and prototyping programmatic solutions to challenges unearthed during the analysis.
The design phases include:
- Explore: Learning about the program’s current state
- Investigate: Develop an opportunity statement and research causes
- Make Meaning & Ideate: Determine potential solutions based on research
- Design & Test: Create a plan to implement pilots
- Implement & Learn: Test planned solution, analyze outcomes, and make improvements
Each team in this project has one year to complete two full design cycles, running through the phases once in the initial cycle and improving upon them in the second. The goal is that each team will find a solution to barriers OY face in their programs. All teams are working through the five phases together, sharing best practices and solving for challenges. For instance, one team has identified that students entering their program have different learning styles that may not align with traditional teaching methods. Because of this, some students may fall behind in courses that rely heavily on reading, for instance. This team is now working on its Investigate Phase, interviewing students, alums, staff, mentors, and community college leadership to ascertain how this impacts OY outcomes. Once it completes this investigation, the team will consider how to implement solutions to those root challenges.
Scaling the Process
CSW and its partners believe this methodology will allow practitioners to think outside the box, creating solutions to longstanding barriers for OY. By methodically assessing programs, engaging in deep research, and piloting innovative solutions, teams will make progress towards increased OY outcomes, including employment in high-wage career pathways.
Once the Opportunity Youth Systems Change Demonstration Project is completed, CSW believes this methodology can be scaled across California and in other states working to help underserved populations including OY achieve success. This model can then be used as a basis for broader systems change work in the workforce development policy field.
Meet the Author
Dana Westgren supports CSW’s Federal State & Local Systems Change team as a Senior Policy Associate. Dana brings a decade of experience in workforce development policy and governance, across federal and state systems. Her priority has always been making the economy and workforce system accessible for historically marginalized populations.
Comments are closed.