South Korea: Youth employment plummets, 'quality jobs' hit hardest

South Korea's job market is showing a significant downturn for young adults, with employment among those in their 20s experiencing its sharpest decline in five years and four months as of May. The impact is particularly severe in sectors traditionally considered high-quality employment, such as information and communication technology (ICT) and professional, scientific, and technical services.

Analysis of national data reveals that ICT sector employment for individuals in their 20s fell by approximately 70,000 from the previous year, reaching 200,000. This represents a 25.9% decrease, marking the most substantial drop among industries employing over 100,000 young people. Professional, scientific, and technical services also saw a significant reduction, with a 14.7% decrease, or 37,000 fewer jobs.

This trend contrasts with other age groups, where employment in the ICT sector actually increased for those in their 30s and for older workers. Sectors like ICT and professional services, often associated with higher salaries, are highly sought after by young job seekers, making the sharp decline particularly concerning. Employment in manufacturing and accommodation/food services, also common for young workers, also decreased.

Experts attribute this concentrated impact on the 20s demographic to a combination of factors, including a declining youth population and a contraction in new hiring, potentially influenced by advancements in artificial intelligence. While the overall population of 20-somethings has decreased, the rate of employment decline among them has been steeper. The significant drop in permanent positions for this age group suggests a reduction in entry-level corporate recruitment, a primary pathway to stable employment.