By Bhagyashree Garekar, US Correspondent

WASHINGTON, USA: Young Americans are taking the hardest knocks as the economy goes deeper into recession and job losses mount.

At 17, Amanda Olivero and her posse of five friends keep their eyes peeled for 'Help Wanted' signs on their almost-daily excursions to the mall.

They figure that a bit of on-the-job training cannot hurt when they wade into the job market upon graduating from high school next year.

Amanda hopes to follow in the footsteps of her older sister, who worked as a kitchen hand while in high school and is now a chef-in-training at a family-run Mexican restaurant.

So far, however, none of them has hit the jackpot since they began their job hunt last September.

According to the US Bureau of Labour Statistics, unemployment among those aged 16 to 19 reached 20.6 per cent last November, up from 15.7 per cent at the same time the year before.

The jobless rate for those aged 20 to 24, meanwhile, climbed from 7.7 to 10.4 per cent, and the rate for those aged 25 to 29, from 5 to 7.3 per cent.

For the nation as a whole, unemployment has hit 6.7 per cent - the highest in 15 years - and is expected to rise to 9 per cent by the end of this year.

Net job gains and losses, however, have not been spread equally across the different age groups. While older workers, especially those above 55 years old, have had to grapple with rising unemployment rates for their age group, they have actually enjoyed, on the whole, a net gain in jobs.

In fact, there were more jobs than there were a year ago for every group over 55 years of age, but fewer jobs for every group under 55.

According to one analysis comparing the three months between September and November last year against the same period the year before, the 55 to 64 age group gained 559,000 jobs, while the 35 to 44 age group lost 1.05 million jobs.

As economist Steven Davis at the University of Chicago's Booth School of Business noted, young adults bear the brunt of job losses in recessions.

During the last two recessions in the US, in 1990 and 2001, unemployment rates in the 20 to 29 age group rose faster than those for older age groups.

Employers prefer older workers even though their health-care costs and pay expectations are higher, said Mr Davis, because they see them as more experienced and reliable, and having specific skills.

At the same time, the Silicon Valley firms - usually the most enthusiastic employers of young graduates - have been offering fewer openings. Many are now laying off workers to cut costs and freezing recruitment.

Making it harder for younger job seekers is the increasing competition from more older folk, who are putting off retirement or trying to return to the workforce, forced to seek employment as their house values and stock portfolios plummet and more firms shrink retirement benefits.

The job outlook for this year continues to be grim, with most employers proceeding with caution when it comes to hiring, said Ms Lisa Hancock, regional director in New York at leading headhunter Manpower.

A survey it released last month showed that two-thirds of employers (67 per cent) are holding off on hiring for the first quarter of this year, and only 3 per cent expect to hire during this period.

This article was first published in The Straits Times on January 10, 2009.