Small and Medium Enterprises Hiring Youth Receive Up to 12 Million Won Support Over 2 Years

On November 15 last year, job seekers are looking over job postings at the 'Cham Joheun Iljari Job Fair' held at the aT Center in Seocho-gu, Seoul.
[Image source=Yonhap News]

Small and medium-sized enterprises (SMEs) will be able to receive up to 12 million KRW in support funds over two years when they hire young workers.

The Ministry of Employment and Labor announced on the 8th that it will start the "Youth Job Leap Incentive" program with these details from the 9th.

The Youth Job Leap Incentive, which began last year by consolidating various youth employment incentives, is characterized by its focused support for young people who face particular difficulties in finding employment, unlike previous incentives.

This year, the level of support has been expanded compared to last year. The support period has been extended from one year to two years, and the support amount per hired youth has increased from 9.6 million KRW to a maximum of 12 million KRW. For the first year, 600,000 KRW will be provided monthly, and upon completing two years of employment, a lump sum of 4.8 million KRW will be given.

Since many young people face various challenges, the scope of eligible "employment-challenged youth" has also been expanded. From this year, youth who are out of family and school protection, such as extended protection youth and youth entering or leaving youth shelters, as well as North Korean defectors facing settlement difficulties, are included in the support targets.

To help young people find jobs at good companies, a sales revenue criterion for participating companies has been newly established, so only companies above a certain level will be supported.

The Ministry of Employment and Labor expects that, as SMEs boldly decided to hire young people through last year's Youth Job Leap Incentive program, this year, young people experiencing long-term unemployment or those with a high school education level will have more opportunities to work.

Minister of Employment and Labor Lee Jeong-sik said, "There are forecasts that the job market conditions will become more difficult this year compared to last year, so the employment burden for young people with little experience, such as long-term job seekers and discouraged youth, is expected to increase. Through the Youth Job Leap Incentive, we will reduce the burden on companies and promote youth employment so that both young people and companies can leap forward together."