Manufacturing Employment Insurance Subscribers Increase by 117,000... Decrease by 3,000 When Excluding Foreigners

Labor Market Trends in October 2023 Based on Employment Administration Statistics

Last month, the number of manufacturing workers enrolled in employment insurance increased by 120,000. However, excluding the increase due to the mandatory enrollment of foreign workers under the Employment Permit System, there was a decline.

According to the "October 2023 Labor Market Trends Based on Employment Administration Statistics" released by the Ministry of Employment on the 13th, the number of regular employment insurance subscribers as of the end of October was 15,281,000, an increase of 342,000 (2.3%) compared to the same month last year.

By industry, both manufacturing (117,000) and service sectors (216,000) saw increases. In manufacturing, growth was centered on metal processing, food products, automobiles, and other transportation equipment, while textiles, clothing and fur, electronics, and telecommunications declined. When excluding the increase due to the mandatory enrollment of foreign workers under the Employment Permit System, the trend shifted to a decrease.

The number of foreign workers under the Employment Permit System (E9·H2) enrolled in employment insurance increased by 205,000 as of the end of October, due to the mandatory application of employment insurance (employment stability and vocational skill development) and the expansion of foreign workforce recruitment this year. Notably, 89.4% of foreign workers under the Employment Permit System are concentrated in manufacturing, significantly impacting the trend of manufacturing subscribers. The increase in manufacturing subscribers among foreign workers under the Employment Permit System was 120,000 at the end of last month; excluding this, manufacturing subscribers decreased by 3,000.

The number of service sector subscribers was 10,528,000, an increase of 216,000. The increase was mainly in health and welfare, and accommodation and food services. Wholesale and retail, educational services, associations, and other services saw decreases.

In October, new applications for unemployment benefits numbered 80,000, an increase of 3,000 (3.8%) compared to the same month last year. By industry, increases were seen in construction (23,000), manufacturing (9,000), and information and communications (7,000).

The number of unemployment benefit recipients was 566,000, up 31,000 (5.9%) from the same month last year, and the total amount paid was 910.4 billion won, an increase of 91.5 billion won (11.2%). The amount paid per person was 1,608,000 won, up 77,000 won (5.0%).