South Korea's Youth Face Record Long-Term Unemployment

South Korea's job market is showing a worrying decline in quality, masked by seemingly positive overall employment figures. The number of long-term unemployed, those jobless for over six months, surged to 108,000 last month, a 30,000 increase from the previous year and the highest proportion since 2004. This trend is particularly acute among young adults, with over 56% of long-term unemployed individuals being between 20 and 30 years old.

The youth employment rate has fallen 4.1 percentage points from its peak four years ago to 43.7%, now even lower than the employment rate for those over 60. This signifies a generation unable to secure initial entry-level positions, becoming what is termed 'jangbaekcheong', long-term unemployed youth. The situation stems from a combination of rapid industrial shifts, including AI adoption replacing administrative roles, and a prolonged slump in manufacturing and construction.

Companies are increasingly prioritizing experienced hires over new graduates, creating a job market that seems resistant to young entrants. The government's 'Youth New Deal' policies, such as expanded vocational training and job seeker allowances, are seen as insufficient short-term fixes. The article argues for a fundamental overhaul of the education and training landscape to align with the new employment ecosystem, coupled with deregulation to encourage businesses to create quality jobs. Restoring the 'job ladder' for young people is presented as a critical national imperative.