It’s that time of year again – school is almost out and teens are looking for a summer job. But the latest data shows in states like California, nearly a quarter of teens hoping for a summer position may be unable to find one.
Entry-level jobs, often starting out at state and local minimum wage rates, are key first steps to entering the workforce for many teens. But as minimum wages rise, the cost of offering entry-level jobs rises for employers, and many may be forced to adjust and reduce hiring or downsize staff. To understand this impact, EPI calculated rolling 12-month average unemployment rates for 16 to 19 year olds across the country, using the latest available U.S. Census Bureau Current Population Survey data through April 2026.
The results show California tops the nation the second year in a row – and the average unemployment rate for teens is growing compared to April 2025. The Golden State had a whopping 23.3% rate of unemployed teens in the state in April. That’s nearly double the national average of 13.3% for 16 to 19 year olds.
California’s high cost environment also includes many industry-specific and local mandates that are even higher. This includes the $20 minimum wage requirement for fast food workers statewide and a rising “Olympic” minimum wage for hotel workers in Los Angeles that is set to reach $25 per hour this summer, on its way to $30. In fact, recent negative impacts on local hotels pushed the L.A. City Council to delay the implementation of the full $30 per hour mandate.
California isn’t the only culprit making it harder for teens to enter the workforce. In fact, the top 5 states for teen unemployment have some of the highest minimum wages in the country:
- California, $16.50/hour;
- District of Columbia, $17.95/hour;
- Delaware, $15/hour;
- Illinois, $15/hour;
- Nevada, $12/hour with no tip credit for tipped hospitality workers.
This data shouldn’t come as a surprise. Experts on the economics of minimum wage hikes have found the rising costs of these policies force employers to reduce staffing levels or hire workers with more experience, limiting job opportunities for entry-level teens looking to get a summer job.
EPI asked 166 American economists about this issue, and three-quarters said a minimum wage up to $15 would cause significant job losses for teens. That share of concern grows for even higher mandates. A majority of economists also believe minimum wages of $15 or more will force employers to require more skills for their open positions, making it harder for teens to get previously-considered “entry-level” jobs.
Economists have studied the impacts of high minimum wage increases, and found overall they backfire on workers through job losses, lower pay because of fewer shifts, and potentially loss of employer-sponsored benefits. When asked about teens directly, the negative consequences are even greater.
Lawmakers in cities and states across the country should carefully consider how their high wage mandates are hurting a crucial group of the workforce: teens just trying to get started.