Venture Business Association and Ministry of SMEs Start Planning Education and Training Program
Expansion of ABCD Core Area Professional Workforce Development

As the shortage of developers intensifies mainly in the IT industry, the government has launched the development of a specialized workforce training program for venture companies. Photo by Innovation Academy

[Asia Economy Reporter Kim Heeyoon] As the shortage of developers triggered in the IT industry expands to all industries, a government-led public-private joint education program to solve this issue is being launched. The Korea Venture Business Association and the Ministry of SMEs and Startups have recently begun planning an education program to cultivate development personnel. Earlier, at the senior secretaries meeting presided over by President Moon Jae-in on the 5th, the shortage of developers was a major topic, indicating a policy move to nurture talent reflecting the voices from the field.

On the 15th, Krafton, the developer of ‘Battlegrounds,’ announced plans to recruit 700 new and experienced employees this year. Previously, Naver attracted attention by posting job openings for 900 positions with a ‘no major required’ policy. As large-scale recruitment competition begins centered on major IT and gaming companies, small and medium-sized enterprises (SMEs) and startups are facing even greater manpower shortages.

With developers’ average job turnover cycle being short at 3 to 5 years, small and medium venture companies are anxiously concerned about the potential outflow of core development personnel due to aggressive recruitment by large IT companies. An industry insider said, “SMEs can only helplessly watch the outflow of talent due to the preemptive recruitment proposals from large IT companies,” adding, “We are fighting for survival by improving treatment, offering stock options, and expanding welfare within our means to retain personnel.”

The shortage of developers across industries has shown signs for several years. The Software Policy Research Institute (SPRi), a national research institute, predicted in its 2018 report ‘Future Job Outlook in the Software Field’ that from 2018 to 2022, there would be a shortage of 31,833 new personnel in four fields: artificial intelligence, cloud, data, and AR/VR.

‘Demand-Driven’ Training Aiming to Produce Workforce Immediately Deployable in the Field

As the developer shortage became a reality and the crisis for SMEs and ventures intensified, the Korea Venture Business Association proposed the need for support policies for talent development to the government. On the 5th, Kang Samgwon, chairman of the Korea Venture Business Association, attended the Blue House senior secretaries meeting and appealed about the manpower issues spreading mainly among SMEs and ventures. After confirming the shortage of developers across industries and the difficulties faced on the ground, the Ministry of SMEs and Startups plans to implement talent development policies to supply developers smoothly and produce more than 10,000 practical personnel annually.

The education program jointly promoted by the public and private sectors aims to cultivate personnel who can be immediately deployed in the field. It also plans to expand the training of specialists in the core ABCD fields (Artificial Intelligence, Blockchain, Cloud, Data). In particular, the Korea Venture Business Association explained that it is collecting opinions mainly from member companies until the 23rd to plan detailed education programs tailored to the specific fields needed by SMEs and ventures.

A representative from the Korea Venture Business Association said, “After COVID-19, with the restructuring of the industrial structure, the demand for developers centered on IT companies has surged, intensifying the shortage of new development personnel in ventures as well as the outflow of existing developers,” adding, “The government plans to address the developer shortage problem through a public-private joint program by adding demand-driven curricula required in the venture field to the various software development talent cultivation programs currently being promoted.”