A record number of Chinese job seekers are looking for a job in the national civil service, as many seek stability amid a grim labour market in the world’s No 2 economy.

A total of 3.03 million qualified applicants nationwide will take an exam next month to compete for 39,600 vacancies in the central government and Communist Party agencies – also a new high – according to the State Administration of Civil Service. That’s about one job for every 77 applicants.

The appeal of civil service roles rose in recent years as Covid and a real estate slump dampened growth, while a sweeping crackdown on the private sector has contributed to mass layoffs in tech and education companies. Applications for jobs in provincial governments also hit a record last year.

Even though China’s economy has shown signs of stabilisation in recent months, it is still contending with challenges ranging from sluggish consumption and a real estate slump to geopolitical risks and trade curbs.

Jobless rate for those between 16 and 24 years old climbed to a record 21.3 per cent in June, before the National Bureau of Statistics stopped releasing the data, saying it needed to iron out complexities in the numbers. The NBS last month said youth employment showed a “marked improvement,” without disclosing the numbers.

Youth unemployment is a sensitive issue to Beijing, as discontent among young people could risk social stability. The government has increased recruitment in recent years as well as directing state-owned companies to hire more graduates. 

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But the problem also has deeper structural roots. A significant expansion in college admission over the past two decades led to an oversupply of white-collar workers, leaving factories struggling to hire young technicians. BLOOMBERG