The spread of the COVID-19 pandemic had a wide range of impacts on living conditions, opportunities and mental health. As discussed by society and supported by some studies, young people were particularly affected. The aim of this review was to provide an overview of research that explicitly addressed the mental health outcomes of adolescents’ and young adults’ transition. A systematic literature search in PubMed, PsycInfo, PSYNDEX, Embase and LIVIVO was conducted in February 2022. 42 of 2562 screened publications from industrialized/high-income countries were included and analyzed. All included publications show that the mental health of young people worsened during the pandemic. Several studies suggest(ed) that youths with less education and low socioeconomic status were affected most. Regarding different stages of adolescence, study results are heterogeneous. Evidence indicates that schools as institutions are important settings for everyday lives, personal development and education of young people. The review shows that there is a need for research and scientifically validated recommendations for practice. Further consideration should focus on the implementation of sustainable structures on the local level to strengthen resilience, minimize risk factors for young people’s mental health and create opportunities for valuable transitions.