Employment Increased by 350,000 in April... Manufacturing Sees Largest Decline in 28 Months (Comprehensive)

Employment Rate at 69%, Highest Since Statistics Began
Manufacturing Declines for 4 Consecutive Months Due to Export Slump

The number of employed people in April increased by 354,000 compared to a year ago. Employment showed a positive trend thanks to increased outdoor activities and demand for caregiving. However, due to a decline in exports, employment in the manufacturing sector recorded the largest decrease in 28 months since December 2020.

According to the employment trend report for April released by Statistics Korea on the 10th, the number of employed people last month was 28,432,000, an increase of 354,000 from the previous year. Although this increase is smaller than the 469,000 increase in March, it is higher than the 312,000 increase in February.

The employment rate for those aged 15 to 64 (OECD standard) also reached 69%, up 0.6 percentage points compared to the same month last year. This is the highest since statistics began in 1989. The expansion in the number of employed people in April was driven by face-to-face industries. Employment in accommodation and food services increased by 171,000, and in health and welfare by 148,000, supported by increased outdoor activities.

By employment status, the number of regular employees increased by 464,000, while temporary employees (-100,000) and daily workers (-76,000) decreased, showing a positive trend. The number of unemployed also decreased by 59,000 to 804,000 compared to the same month last year. The unemployment rate was 2.8%, down 0.2 percentage points, marking the lowest April rate since the standard was changed in June 1999. The youth unemployment rate (6.4%) fell by 1.0 percentage point, also the lowest since the standard change.

However, as export sluggishness continued, employment in the manufacturing sector decreased by 97,000, marking the fourth consecutive month of decline. This is the largest decrease in 28 months since December 2020 (110,000 decrease). Seo Un-ju, Director of the Social Statistics Bureau at Statistics Korea, explained, “There was an impact from a four-month consecutive decline in employment in the electronic components and computer sector, classified under semiconductors,” adding, “Since this is related to exports, if recovery does not occur, it will continue to affect manufacturing employment.”

Wholesale and retail trade (-62,000) and construction (-31,000) also decreased compared to the same month last year. Employment among youth (ages 15?29) decreased by 137,000, marking six consecutive months of decline. This is the largest decrease in youth employment in two years and two months since February 2021 (-142,000).

The economically inactive population was 16,135,000, down by 156,000. Although the number of people who 'rested' increased by 133,000, the population not participating in economic activities due to reasons such as old age (-141,000) and childcare (-139,000) decreased.

[Image source=Yonhap News]