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๐Ÿ‡ฐ๐Ÿ‡ท South Korea /Economy & Trade

Delivery workers trapped by high income, struggle to quit jobs to repay debts

From Hankyoreh · () Korean

Translated from Korean, summarized and contextualized by DistantNews.

At a glance

In-depth Documents & data Context piece
  • Many financially vulnerable individuals are trapped in high-paying delivery jobs to repay debts, making it difficult to leave.
  • Falling delivery fees force workers to labor longer and more dangerously to maintain income, creating a "high-income trap."
  • The study highlights the need for tailored support, including flexible training and group counseling, to help these workers transition to more stable employment.

A study by the Korea Employment Information Service reveals a growing number of financially vulnerable individuals are caught in a "high-income trap" within the gig economy, specifically in delivery work. Among 30 individuals undergoing debt adjustment, seven were found to be delivery platform laborers, a disproportionately high number.

This is all I can do. I don't know what else to do. I have to pay back money at that level of salary.

โ€” Worker ใ„ฑExplaining his reliance on delivery work despite injury.

These workers often turn to delivery jobs to earn substantial income quickly, aiming to repay significant debts. However, as delivery fees decline, they must work longer and take greater risks to maintain their earnings. This precarious situation makes it difficult to leave the profession, as switching to other jobs would mean an immediate loss of income, precluding them from taking time off for vocational training.

If you look only at the salary, I want to keep doing it.

โ€” Worker ใ„ดDescribing his conflicted feelings about the delivery job.

One 34-year-old man, burdened by 50 million won in debt, returned to motorcycle delivery just six weeks after a serious back injury. He believes other jobs cannot match the income needed to repay his debts. Similarly, a 28-year-old quit his camera sales job to pursue delivery, earning up to 5 million won after tax per month. While acknowledging the high pay, he expressed anxiety about losing opportunities for regular employment.

There is no place for oneself.

โ€” Worker ใ„ดExpressing anxiety about long-term career prospects in delivery work.

The report details the deteriorating working conditions, with an 8-year veteran delivery worker needing to work over 12 hours daily to earn 200,000 won. He attributes the drop in delivery fees to intense competition between platforms like Coupang Eats and Baemin, forcing workers to "work like non-humans" and take risks like running red lights to maintain income. The difficulty in escaping this cycle is compounded by the immediate income delivery work provides compared to the financial strain of attending job training programs.

You have to work at a level that is not human. You have no choice but to take risks.

โ€” Worker ใ„ทDescribing the extreme measures needed to maintain income due to falling delivery fees.
DistantNews Editorial

Originally published by Hankyoreh in Korean. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.