Semiconductor Company Worker Recruitment, Up to 10 Million KRW Support Per Person... Daegu City’s Measures to Resolve Labor Shortage

Payment of 3 Million Won to Hired Workers

Daegu City is implementing the ‘Daegu-type Semiconductor Plus Job Project,’ which provides incentives to newly employed workers and hiring companies, to foster the local semiconductor industry where labor demand is increasing as a key initiative of the 8th term of the civilian government.

This project is part of the Ministry of Employment and Labor’s ‘Regional Plus Job Project,’ and Daegu City was selected for this national funding project this year to proceed with it.

Daegu City Hall Sangyeok Office Building.

Unlike the existing Ministry of Employment and Labor project that mainly supports the youth (under 34 years old), Daegu City plans to expand the eligible age to 35 and older and increase the support level to focus on the semiconductor industry sector.

The project consists of two programs: the ‘Plus Job Leap Incentive’ for companies and the ‘Plus Job Fulfillment Support Fund’ for workers. The Plus Job Leap Incentive provides semiconductor companies located in Daegu that newly hire regular workers aged 35 and older with 1 million KRW per month per new hire, for up to 10 months.

Additionally, the Plus Job Fulfillment Support Fund offers job seekers aged 35 and older residing in the region (15 to 39 years old for those employed in development and design fields) who newly find employment at local semiconductor companies 1 million KRW each upon completing 3, 6, and 12 months of continuous employment, up to a maximum of 3 million KRW.

The eligible companies include six core industries related to semiconductors such as development and design, materials and components, machinery and equipment, processing and treatment, and 23 related industries. Daegu City plans to prioritize support for companies in core sectors that form the foundation of the semiconductor industry.

The support scale is 30 people for companies and 80 people for workers, totaling 110 people. Applications can be submitted through the Daegu Employers Federation, the organizing institution, from April 26 to May 31.

An Jung-gon, Director of the Economic Bureau of Daegu City, said, “This project will greatly help alleviate the labor shortage in the local semiconductor industry by reducing companies’ labor cost burdens and encouraging long-term employment of workers. We will continue to create job projects tailored to the characteristics of Daegu’s region and industry to build an environment where workers can settle for a long time.”