"Employees Delaying Job Changes Due to COVID-19"

69.7% of Office Workers Delayed Job Changes Due to COVID-19
1 in 3 Major Domestic Companies Say Workforce Reduction Inevitable if COVID-19 Persists Over 6 Months
Experts: "Both Companies and Job Seekers Struggle Amid COVID-19... Must Turn Crisis into Opportunity"

Recently, it has been found that job changes among office workers have also decreased due to the impact of the novel coronavirus infection (COVID-19).
Photo by Yonhap News

[Asia Economy Reporter Kim Suwan] #Office worker A (25) feels the urge to quit every time their boss gets angry. Although they want to submit their resignation dozens of times a day, they are holding back due to the lack of job postings amid the COVID-19 crisis. A said, "When the company suddenly asks me to take on additional tasks, the urge to quit becomes even stronger," but added, "I just have no choice but to endure and keep working. With the employment freeze caused by COVID-19, I can't quit rashly."

Recently, it has been found that job changes among office workers have also decreased due to the impact of the novel coronavirus infection (COVID-19). They cited the instability of the job market caused by the economic downturn as the reason.

According to a survey, more than six out of ten office workers have been influenced in their job changes by the COVID-19 situation.

On the 19th, Saramin conducted a survey of 1,000 office workers and asked whether the COVID-19 situation affected their job changes. 69.7% answered that they postponed changing jobs.

The reasons for postponing job changes included △'No job postings from desired companies' 53.4% (multiple responses) △'High uncertainty due to possible cancellation of hiring caused by poor management' 48.1% △'The new company's situation could rapidly worsen' 20.4% △'The recruitment I was going to apply for was suspended' 20.4%, among others. It appears that worsening corporate management due to COVID-19 is causing people to delay job changes.

According to a survey, more than 6 out of 10 office workers reported that the COVID-19 pandemic has influenced their decision to change jobs. Photo by Yonhap News

As a result, many office workers are considering postponing their job changes until after the end of COVID-19.

Office worker B (29), who works at a small or medium-sized enterprise, said, "I wanted to change jobs, but I am postponing it due to the COVID-19 situation," and added, "I plan to prepare for a job change once the government officially announces that the COVID-19 situation is over."

Another office worker C (32) said, "I am currently preparing to change jobs. However, certification exams keep getting postponed, and for the few exams I managed to take, I was stressed out having to pay attention to masks and hand sanitizers to prevent infection," adding, "I decided to wait until vaccines are available rather than taking exams while trembling with fear of catching COVID-19."

Meanwhile, companies are also suffering from worsening management due to COVID-19.

One out of three major domestic companies sees workforce reduction as inevitable if COVID-19 continues for more than six months.

A survey conducted by the Korea Economic Research Institute under the Federation of Korean Industries from the 13th to the 24th of last month, targeting 120 of the top 500 companies with more than 300 employees by sales, found that 32.6% of responding companies said they could maintain operations without restructuring for less than six months if management deterioration due to COVID-19 continues.

Additionally, the most common current or discussed response strategies to minimize COVID-19 damage were 'securing liquidity such as financial funding' at 22.5%, followed by temporary closure or leave at 19.4%, salary cuts including bonuses and welfare expenses at 17.5%, and workforce reduction such as voluntary retirement or layoffs at 8.8%.

Experts advised that since both companies and job seekers are facing difficulties due to the COVID-19 crisis, they should take this as an opportunity. Photo by Yonhap News

Experts advised that since both companies and job seekers are struggling due to the COVID-19 crisis, they should take this as an opportunity.

A representative from the Institute for Sustainable Growth said, "Major corporations representing the Korean economy are experiencing declines in sales and operational soundness, and now face the COVID-19 crisis," predicting, "To survive, large companies will undertake business and workforce restructuring and cost reductions."

On the 21st, Bae Gyusik, director of the Korea Labor Institute, during a presentation at the Ministry of Employment and Labor's Employment Policy Council held at the Seoul Press Center, advised, "In the COVID-19 situation, labor time reduction (including temporary closure and leave) due to decreased demand should be used as an opportunity for on-the-job training and education to improve skills, job competence, productivity, quality, and human competitiveness."

He added, "The COVID-19 crisis has raised the need to strengthen employment safety nets to protect workers from risks of unemployment and income loss or reduction," emphasizing, "It is necessary to enhance companies' capabilities for economic recovery after the COVID-19 situation."

In the report 'Characteristics of Youth Job Changes and Reemployment and Policy Implications for Youth Unemployment in Seoul' (Seoul Institute/2019), Deputy Research Fellow Kim Jinha and others stated, "While job changes can be an opportunity for improving one's economic status and self-realization, frequent job changes carry the risk of economic and social downward mobility," recommending, "Strengthening the capabilities of young workers is necessary for job stability."