Yes the standard deduction goes up, but if you exceed it, even with additional earned income, then the remaining amount is taxed as unearned income.
We had to set up a small deductible IRA for D last year to avoid kiddie tax when her part time job took her total 2021 income over the standard deduction. We’ll now unwind that this year and convert it to a Roth while she’s low income and not subject to kiddie tax.