Arcos Dorados study urges hiring incentives to boost youth employment in Peru
ARCO•Arcos Dorados published its third study on Peru’s youth labor market, recommending temporary hiring incentives for inexperienced young people, expanded paid-work training and improved job-matching services. Longer-term proposals include aligning education with employer demand and supporting better-paid formal jobs.
1. Study recommendations
Arcos Dorados published its third study on Peru’s youth labor market on October 20, 2026, recommending measures to expand formal employment. Earlier research found that 30.7% of young people and 47.7% of employers identified insufficient experience as the main barrier to formal employment.
2. Short- and long-term measures
Short-term proposals include temporary hiring incentives for inexperienced young people, expanded training that combines education with paid work, and improved public job-matching services. Longer-term recommendations call for aligning technical and university education with employer demand and transforming production to support better-paid formal jobs.
