Neoliberalism: Youth protests around the World

Youth Protests under Neoliberalism shed light on economic insecurity, intergenerational inequality and democratic accountability. Read here to learn more.

A wave of youth-led protests across Europe and South Asia has brought renewed attention to economic insecurity, unemployment, unaffordable housing, declining public services and political exclusion.

In October 2026, demonstrations involving young people spread across countries including France, Spain, Belgium, Albania and India. In Europe, protests have highlighted concerns about education, employment opportunities and housing affordability. In South Asia, movements in Sri Lanka (2022), Bangladesh (2024), Nepal (2025) and India (2026) have reflected varying combinations of economic distress, corruption, political exclusion and demands for institutional accountability.

These developments have revived the debate over neoliberal capitalism, particularly its implications for welfare provision, labour rights, wealth distribution and opportunities available to younger generations.

What is Neoliberalism?

Neoliberalism is an economic and political approach that emphasises market competition, private enterprise, trade liberalisation, deregulation and a reduced role for the State in directly managing economic activity.

It gained prominence from the late 1970s and 1980s, partly in response to the economic difficulties of the preceding decade and dissatisfaction with extensive state-led economic management.

Key Features

• Market liberalisation: Reducing barriers to trade, investment and private-sector participation.
• Privatisation: Transferring ownership or management of selected public enterprises and services to private entities.
• Deregulation: Reducing or redesigning government controls over economic activities, particularly in markets and finance.
• Fiscal restraint: Emphasising expenditure discipline and limiting certain forms of public spending.
• Labour-market flexibility: Making recruitment, wages and employment arrangements more adaptable to market conditions.
• Competition and efficiency: Promoting private investment and market competition as mechanisms for improving productivity and resource allocation.

Neoliberalism is not a uniform policy model, and its implementation differs across countries.

• Market reforms can promote investment, innovation and economic growth, but their distributional consequences depend on regulation, labour protections, taxation and the strength of public institutions.
• The debate concerns how economic gains are distributed and whether social protections keep pace with market changes.

Why Are Young People Increasingly Discontented?

1. Unemployment and underemployment

Economic growth does not automatically translate into adequate employment opportunities. Young people frequently face difficulties entering the labour market, particularly when educational qualifications do not match available jobs.

• According to the India Employment Report 2024, prepared by the Institute for Human Development and the ILO, young people accounted for approximately 83% of India’s unemployed persons in 2022.
• The report also identifies the concentration of educated youth among the unemployed as an important labour-market concern.
• Globally, the ILO estimated that the youth unemployment rate was 13% in 2023, while approximately 20% of young people were not in employment, education or training (NEET).

The concern is therefore not simply the absence of jobs, but the shortage of stable, productive and adequately remunerated employment.

2. Rising cost of living and underconsumption

• Rising housing, food, transport, healthcare and education costs reduce the purchasing power of young households.
• From a heterodox economic perspective, including underconsumption theories, persistent wage stagnation relative to productivity and profits can weaken aggregate demand.
• When households cannot afford goods and services, consumption and investment may be affected.
• For young people entering the labour market, this creates a cycle of low savings, limited purchasing power and delayed financial independence.

3. Commodification of education

• Higher education is increasingly influenced by private investment, market demand and employability considerations.
• This can expand access and introduce innovation, but high tuition fees, education loans and unequal institutional quality may create significant financial barriers.
• The problem of credential inflation arises when more people acquire higher qualifications without a corresponding expansion in suitable employment opportunities.
• Consequently, educational achievement may not guarantee economic mobility.

4. Casualisation of labour and the rise of the precariat

The expansion of contract work, temporary employment and platform-based services has transformed labour markets.

• Gig workers may lack predictable earnings, paid leave, health insurance and retirement benefits.
• Algorithmic management can affect work allocation, ratings and remuneration.
• Workers may have limited opportunities for collective bargaining and representation.

The term precariat, popularised by economist Guy Standing, describes a growing category of workers experiencing insecure employment, uncertain income and limited social protection.

India’s Code on Social Security, 2020, recognises gig and platform workers and provides a framework for social-security schemes. However, recognition under the Code does not automatically confer the full set of protections associated with conventional employee status.

5. Feminisation of economic insecurity

• Young women face additional barriers arising from gender discrimination, unequal pay, occupational segregation and disproportionate responsibility for unpaid care work.
• Women are also overrepresented among young people outside employment, education or training. The ILO estimated that two-thirds of young people globally in the NEET category in 2023 were women.
• Limited childcare facilities, unsafe transport and inadequate workplace protections further constrain women’s participation in the labour market.

6. Artificial Intelligence and automation

• Artificial intelligence, robotics and automation are changing the nature of employment.
• While these technologies can create new occupations and improve productivity, they may also automate repetitive tasks and alter entry-level jobs in areas such as customer support, administration, content production and data processing.
• Young graduates may face increased competition for the remaining positions, making continuous reskilling and adaptation essential.

7. Intergenerational environmental injustice

Climate change creates an unequal distribution of risks across generations.

• Younger generations are likely to experience a longer period of exposure to rising temperatures, extreme weather and ecological degradation.
• A 2021 study published in Science estimated that children born in 2020 could experience substantially more extreme climate events during their lifetimes than people born in 1960, even under a scenario consistent with current climate pledges.
• The World Bank has estimated that heat-stress-related productivity declines could account for 34 million of the projected 80 million global job losses by 2030, with India bearing a substantial share.
• This creates a sense of intergenerational injustice, as younger people inherit climate-related economic and environmental costs despite having contributed less to historical emissions.

8. Housing unaffordability and asset inequality

• Rising property prices, high rents and unequal access to credit can prevent young people from achieving financial independence.
• In many urban areas, housing costs absorb a substantial share of young workers’ incomes, delaying household formation, savings and homeownership.
• The resulting divide between asset-owning households and those dependent primarily on wages can reinforce intergenerational wealth inequality.

9. Weakening of social security and welfare protections

• Changes in employment structures and retirement systems can transfer greater financial risk to individuals.
• Workers in informal and platform-based employment may lack reliable pension coverage, unemployment protection and comprehensive health insurance.
• Where public welfare systems are inadequate, individuals must increasingly rely on private savings and market-based services to manage essential life risks.

10. Political alienation and institutional distrust

• Youth discontent is also associated with perceived corruption, nepotism, unequal access to opportunities and limited political representation.
• When young people believe that established institutions are unresponsive to their concerns, public demonstrations may become an alternative means of expressing grievances.

How Do Contemporary Youth Protests Differ from Historical Movements?

Contemporary movements are not necessarily leaderless or ideologically uniform. Digital platforms facilitate rapid mobilisation, but they can also make sustained negotiation, representation and policy coordination difficult.

What Do Recent Youth Movements Reveal?

Different countries illustrate how youth mobilisation can emerge from distinct grievances.

1. Sri Lanka: Aragalaya Movement (2022)

• The Aragalaya movement emerged amid a severe economic crisis marked by foreign-exchange shortages, inflation, fuel shortages and difficulties accessing essential commodities.
• Young people, students and civil society groups participated in demonstrations demanding political accountability and economic reforms.
• The protests culminated in the resignation of President Gotabaya Rajapaksa.

2. Bangladesh: July Uprising (2024)

• The movement initially emerged from student opposition to the public-sector job quota system.
• It subsequently expanded into a broader movement against political repression, unemployment, corruption and perceived institutional failures, ultimately leading to the departure of Prime Minister Sheikh Hasina.

3. Nepal: Gen Z Protests (2025)

• The protests were initially triggered by restrictions on social media platforms but quickly broadened into demonstrations against corruption, nepotism, unemployment and political privilege.
• The movement resulted in the resignation of Prime Minister K. P. Sharma Oli and brought questions of governance and accountability to the forefront.

4. India: Youth-led Mobilisation (2026)

• Youth-led demonstrations in India have reflected concerns about examination irregularities, paper leaks, unemployment and institutional accountability.
• The Cockroach Janta Party movement, which emerged through online satire and student mobilisation, illustrates how digital platforms can convert public frustration into coordinated demonstrations.
• Subsequent protests have also raised broader questions concerning democratic participation and institutional responsiveness.

These movements share certain concerns, but they should not be treated as identical manifestations of opposition to neoliberalism. Sri Lanka’s economic collapse, Bangladesh’s quota controversy, Nepal’s anti-corruption mobilisation and India’s examination-related protests had distinct immediate causes and political contexts.

What Are the Implications of Rising Youth Unrest?

1. Economic disruption

• Prolonged demonstrations, strikes and political instability can disrupt production, trade, tourism and public services.
• An IMF working paper published in 2021 found that major social-unrest events were associated with GDP remaining approximately one percentage point below its baseline six quarters after the event.
• The study also found that the economic effects were more pronounced when unrest involved socioeconomic grievances or a combination of economic and political factors.

2. Political instability and polarisation

• Persistent grievances may intensify political divisions and create opportunities for populist or extremist mobilisation.
• Where institutional channels fail to accommodate legitimate demands, protests can escalate into prolonged confrontations between citizens and the State.

3. Erosion of institutional trust

• Unemployment, corruption and unequal access to opportunities can weaken confidence in democratic institutions.
• A persistent disconnect between public expectations and government responsiveness may undermine democratic legitimacy and social cohesion.

4. Intergenerational conflict

• Competition over public expenditure, pensions, housing, education and employment can intensify tensions between younger and older generations.
• The challenge is to ensure that social protection for older citizens does not come at the cost of inadequate investment in younger generations.

5. Democratic renewal and accountability

Peaceful youth mobilisation can strengthen democracy by:

• Bringing neglected issues into public debate.
• Demanding transparency and accountability.
• Encouraging electoral and institutional reforms.
• Increasing youth participation in public decision-making.
• Strengthening civil society and democratic awareness.

Youth protests can therefore be both a manifestation of institutional dissatisfaction and an opportunity for democratic reform.

What Measures Are Needed to Address Intergenerational Inequality?

1. Reorienting labour markets towards decent work

Economic policy must focus not only on employment generation but also on the quality and security of jobs.

• Strengthen labour protections for contract, informal and platform-based workers.
• Improve access to social security, health insurance and retirement benefits.
• Promote fair wages and transparent employment conditions.
• Encourage collective bargaining and effective worker representation.
• Establish appropriate safeguards against arbitrary algorithmic management.

2. Strengthening universal basic services

• Universal Basic Services (UBS) seek to ensure access to essential services such as healthcare, education, housing, transport and childcare.
• India can strengthen existing programmes, including Ayushman Bharat, PMAY and public education initiatives, while improving affordability, service quality and coverage.
• The objective should be to reduce the extent to which access to essential services depends entirely on household purchasing power.

3. Promoting equitable wealth distribution

• Progressive taxation, effective taxation of capital gains and measures against tax avoidance can help mobilise resources for public investment.
• Competition policy and regulation of monopolistic practices can also help prevent excessive market concentration.
• Such measures should balance distributive objectives with investment, innovation and economic growth.

4. Aligning education with the future of work

India must address the gap between educational qualifications and labour-market requirements.

• Strengthen vocational and technical education under the National Education Policy 2020.
• Expand apprenticeships and industry-linked training.
• Improve career guidance and employment placement services.
• Promote digital literacy, AI skills, critical thinking and problem-solving.
• Strengthen initiatives such as PM Kaushal Vikas Yojana and FutureSkills Prime.

Education should also promote civic awareness, creativity and adaptability rather than focusing exclusively on immediate employability.

5. Promoting green jobs and a just transition

• Climate action can become a source of employment if the transition is designed inclusively.
• Investment in renewable energy, green hydrogen, electric mobility, sustainable agriculture, waste management and climate-resilient infrastructure can generate new employment opportunities.
• The Skill Council for Green Jobs and relevant skill-development programmes can help prepare young workers for emerging occupations.
• A just transition must also protect workers and communities dependent on carbon-intensive industries through reskilling, social protection and alternative livelihood opportunities.

6. Making housing affordable

• Governments should strengthen affordable rental housing, public transport, urban planning and access to housing finance.
• Policies should address speculative pressures, improve the availability of rental accommodation and expand housing options for students, migrant workers and young professionals.

7. Strengthening youth participation in governance

Youth engagement must extend beyond electoral participation and online mobilisation.

• Institutionalise youth consultations in policymaking.
• Strengthen student representation in educational institutions.
• Expand youth participation in local governance and community planning.
• Improve transparency in recruitment, public examinations and public-service delivery.
• Establish accessible grievance-redressal mechanisms.

8. Adopting intergenerationally equitable fiscal policies

• Public expenditure should balance the needs of different age groups while protecting long-term development priorities.
• Investment in education, preventive healthcare, research, employment creation and climate adaptation should be treated as investments in future economic and social resilience.

Conclusion

The growing wave of youth-led protests reflects a wider crisis of economic security, social mobility and political representation. While neoliberal economic policies form an important part of the debate, the immediate causes of youth unrest differ across countries and include governance failures, corruption, unemployment, educational inequality and restrictions on democratic participation.

The way forward is not simply a choice between State control and free markets. It requires a balanced development model that combines economic dynamism with social protection, decent employment, equitable opportunities and environmental sustainability.

Young people should not merely inherit the consequences of today’s economic and political decisions; they must have a meaningful role in shaping them. Inclusive growth and intergenerational justice are therefore essential to strengthening both social cohesion and democratic stability.