Increase in Employment Insurance Subscribers Expands... Service Industry Up by 350,000
Manufacturing Industry Has 3.584 Million Subscribers... Up for 3 Consecutive Months
[Sejong=Asia Economy Reporter Moon Chaeseok] As the COVID-19 pandemic prolonged and the number of unemployed increased, the number of unemployment benefit recipients last month ranked second highest ever. This marked two consecutive months of record-breaking figures following the record high in March.
According to the April labor market trends announced by the Ministry of Employment and Labor on the 10th, the number of job-seeking benefit recipients last month was 739,000, ranking second after the record high of 759,000 in March. The amount paid for job-seeking benefits was 1.158 trillion won, ranking fourth. This was slightly lower than the 1.179 trillion won in March, which ranked third.
Job-seeking benefits are allowances paid from the employment insurance fund by the government to assist unemployed individuals in their job search activities and constitute the majority of unemployment benefits. New applicants for job-seeking benefits numbered 103,000, a decrease of 26,000 (20.2%) compared to the same month last year.
Based on the number of employment insurance subscribers, the indicators generally improved. This is analyzed as a base effect compared to April last year when the impact of COVID-19 affected employment. Last month, the number of employment insurance subscribers was 14.197 million, an increase of 422,000 (3.1%) compared to the same month last year. The increase was larger than in January (169,000), February (192,000), and March (324,000), during the third wave of COVID-19.
Last month, the service sector also led the increase in employment insurance subscribers. The number of employment insurance subscribers in the service sector was 9.732 million, an increase of 350,000 (3.7%) compared to the same month a year ago. Subscribers in health and welfare, including government and local government job projects, increased by 124,000. The decline in accommodation and food services (-15,000), transportation (-4,000), and arts and sports (-1,000), which were hit by the COVID-19 pandemic, narrowed.
The number of employment insurance subscribers in manufacturing, a core domestic industry, was 3.584 million, an increase of 44,000 (1.2%) compared to the same month last year. Manufacturing subscribers turned positive for the first time in 17 months in January and increased for three consecutive months. The increase was larger than in January (5,000), February (22,000), and March (34,000).
By age group, employment insurance subscribers under 29 increased by 9,300 (1.7%). After turning positive in March for the first time in three months, it showed an increasing trend for two consecutive months. Subscribers in their 40s, 50s, and 60 and above also increased. Although subscribers in their 30s decreased (-17,600), the decline narrowed.
The labor market trends announced monthly by the Ministry of Employment and Labor are records of regular and temporary workers among employment insurance subscribers. Special types of workers (teukgo), freelancers, self-employed, and ultra-short-time workers are excluded.
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