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Ibero-America’s Best Asset Is Our Youth, and It’s Going to Waste

By Matias Fernandez - Acute Talent
Chairman & CEO

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Matias Fernandez By Matias Fernandez | Chairman & CEO - Tue, 06/03/2025 - 07:30

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One in four working-age individuals in Ibero-America is between the ages of 15 and 24. That’s not just a statistic, it’s a historic opportunity. Or, depending on what we do next, a missed chance with long-term consequences.

Today, over 6.8 million young people in our region are unemployed, and a staggering 58% of those who are working do so informally, without protections, benefits, or any real path to advancement. This isn’t just a social issue. It’s an economic time bomb.

And here’s the real tragedy: We’re not dealing with a generation that lacks drive or capacity. Quite the opposite. We have a generation that’s hungry to build, eager to learn, and equipped with digital fluency like no other. A generation ready to lead the future.

What they lack isn’t talent. What they lack is access.

A Commitment Rooted in Reality, Not Rhetoric

In response to this urgent challenge, the Ibero-American Federation of Young Entrepreneurs (FIJE), together with the Ibero-American Business Council (CEIB), Conecta Iberoamérica, the Institute for Economic Studies (IEE), and with the support of the International Organization of Employers (IOE), launched the Ibero-American Commitment to Youth Employability.

This is not a PR statement. It's a strategic roadmap.

Endorsed by 25 national business organizations across 22 countries, this commitment is grounded in real data, real dialogue, and real collaboration. It draws on findings from the “Objective: Employability” report, a comprehensive study involving over 500 companies and academic institutions, and informed by regional labor data from the ILO, OECD, and ECLAC.

It confirms what many of us already sensed: The disconnect between education systems, labor markets, and public policy is systemic, and it's hurting our future.

The system isn’t failing young people. It’s failing itself:

  • 86% of companies say academic programs are out of sync with actual job market needs.

  • 57% cite lack of experience as the top hiring obstacle for young candidates.

  • Over 30% report gaps in both technical and soft skills, including communication, adaptability, and critical thinking.

  • And only 47% of companies have active measures to attract or retain young talent.

This is not a coincidence. It's a structural failure. And if we don’t change course now, the cost will only rise.

We need more than patchwork solutions. We need a regional transformation, driven by strategic alignment between the private sector, governments, and educational institutions.

 

Business Can’t Afford to Sit on the Sidelines

I've had the privilege of representing entrepreneurs in over 20 countries, and the message is consistent: There’s no innovation without youth. No digital transformation without their skills. No sustainable future without their inclusion.

For companies, this isn’t a matter of corporate responsibility, it’s a matter of business strategy.

At Acute Talent, we live this every day. We use AI to identify rising talent, we partner with universities and governments to co-design career pathways, and we help companies build intergenerational teams that are resilient, diverse, and forward-thinking.

But we can’t do this alone.

We need to co-create an ecosystem that includes:

  • Curriculum reform with input from real industry leaders.

  • Public policies that offer tax incentives or subsidies for youth employment.

  • Scaled dual training programs, bridging education and real work experience.

  • Financing and mentoring for high-potential young entrepreneurs.

  • Job platforms that connect youth with employers based on merit and potential, not privilege or proximity.

Because when we lock young people out of the formal economy, we don’t just delay their progress, we compromise our own.

 

The Ibero-America We Dream of Starts With Inclusion

Unemployment isn’t just about income, it’s about identity. When a young person is denied opportunity, it chips away at their confidence, their ambition, and their sense of belonging. Multiply that by millions, and you have a region at risk of disengagement, disillusionment, and decline.

But there’s another path.

We can choose to see youth not as a problem to manage, but as a force to unleash.
We can align policy, education, and business in a way that makes access, growth, and dignity the standard — not the exception.

This article isn’t just analysis. It’s a call to action. It’s a challenge to CEOs, ministers, educators, and every leader in this region:

  • Let’s sit at the same table.

  • Let’s build incentives that reward hiring, training, and mentoring young people.

  • Let’s treat youth employment as the regional priority it truly is.

Because this isn’t about helping them. It’s about building the future we all depend on.

I’ve already chosen which side I’m on.

And you? Are you ready to be part of the problem — or part of the solution?

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