September Employment Increased by 707,000... Growth Rate Slows for Four Consecutive Months (Update)

Statistics Korea Announces 'September Employment Trends'

[Asia Economy Sejong=Reporter Kwon Haeyoung] The number of employed people last month increased by 707,000 compared to a year ago. However, the rate of increase has slowed for four consecutive months. As the economic slowdown accelerates, concerns are emerging that the growth in the number of employed people will decline in the future.

According to the "September Employment Trends" released by Statistics Korea on the 14th, the number of employed people last month was 28,389,000, an increase of 707,000 compared to the same period last year. This is the largest increase in 23 years since September 1999 (935,000) for the same month.

However, the monthly increase has been decreasing for four consecutive months, from 935,000 in May to 841,000 in June, 826,000 in July, and 807,000 in August.

The quality of employment is also deteriorating. The number of employed people aged 60 and over increased by 451,000, accounting for 63.8% of the total increase last month. This was followed by those in their 50s (166,000), 30s (91,000), and under 20s (16,000).

On the other hand, the number of employed people in their 40s, the "economic backbone," decreased by 17,000, continuing a decline for three consecutive months.

By industry, manufacturing (227,000), health and social welfare services (117,000), and accommodation and food services (94,000) led the increase in employment. Conversely, employment decreased in associations and organizations, repair and other personal services (-25,000), wholesale and retail trade (-24,000), and finance and insurance (-24,000).

The unemployment rate was 2.4%, down 0.3 percentage points from the same period last year. This is the lowest level since June 1999 for the same month. The rate decreased among those aged 60 and over and those in their 50s but increased among those in their 20s. The number of unemployed also decreased by 52,000 to 704,000. However, among the youth (ages 15-29), the number of unemployed increased by 35,000 compared to a year ago, and the unemployment rate rose by 0.7 percentage points to 6.1% during the same period.

The government expects uncertainty in the employment market to expand going forward. Gong Misook, Director of the Social Statistics Bureau at Statistics Korea, said regarding the future sustainability of employment growth, "The September employment trends show that while the number of employed people increased, the rate of increase has slowed," adding, "There is a lot of uncertainty, making it difficult to forecast."