[Bread-Baking Typewriter] "Low Birthrate Labor Crisis Is a Problem of Adaptation"... 'The Workforce Is Disappearing'

"Face Reality with Objective Figures and Statistics"
"Increase Economic Activity of Women and Elderly to Mitigate Impact"

Recently, the issue that consistently appears in television news and newspapers from morning till night is the low birthrate problem. South Korea's fertility rate, which has been hitting historic lows every year, has become a matter of global interest, not just a national concern. The total fertility rate of 0.7, even lower than that of war-torn Ukraine under bombardment, is considered a miraculous figure by academia. No one expected a territorial country with tens of millions of people, not a city-state, and a leading industrial power without war or famine, to have a fertility rate below 1.0.

Surrounded by Korea's unprecedented demographic challenges, more sensational content is inevitably emerging. Various dystopian scenarios reminiscent of science fiction movies are pouring out daily, such as the nation collapsing soon, a labor population cliff, and the real estate market crashing due to worsening low birthrate and aging. Amid apocalyptic phrases suggesting that not only Korea but the entire Korean ethnic group might become extinct, the public can only become more confused.

This book takes a more objective look at the demographic issue, which has been distorted into a sensational topic like "the disappearance of workers." It avoids words like national collapse or ethnic extinction as much as possible and deals with figures, statistics, and possible future responses and policies in a calm tone. The author argues that facing the reality as it is, without exaggeration, is the key to finding solutions.

Throughout the text, the author repeatedly emphasizes that Korea's demographic problem is by no means an issue that will lead to the country's demise. The author reminds readers that Korea's population has fluctuated continuously throughout history and was once much smaller than it is now. However, since the industrialization era, Korean society has only experienced population growth and economic expansion, so it is naturally bewildered by the sudden onset of a shrinking society. The author insists that since there is a possibility of a rapid population decline from a certain point onward, society must appropriately adapt to this change.

According to current demographic statistics, the period when Korea's labor population decline and social changes will accelerate sharply is expected to be 50 years from now, in 2072. Assuming the worst-case scenario where the current fertility rate does not significantly rebound, Korea's population could plummet from the current 50 million range to the 30 million range. The analysis suggests that until 2050, severe demographic problems that people can strongly feel will not immediately arrive.

Since there is still time, the author argues that short-term and mid-to-long-term measures must be implemented together before fear is induced. Along with the government's current low birthrate policies, various policies enabling society to adapt to the declining labor population must be accompanied. In particular, raising the female labor force participation rate, which is the lowest among OECD countries, significantly can greatly reduce the shock of labor population decline. Korean women's labor force participation rate is around 50-60%, which is still about 20-30% lower than that of Nordic countries.

The author also calls for a new paradigm regarding retirement age extension. The existing fixed retirement age of 65 and the definition of the elderly generation were concepts created in the 19th to early 20th centuries, which do not fit the current era where average life expectancy has increased by more than 20-30 years. The author emphasizes that simply raising the economic activity participation rates of women and the elderly generation to OECD levels would provide more flexibility in responding to labor population decline. This book is recommended for those interested in the overall low birthrate issue, demographic structural changes, and labor market fluctuations.

Disappearance of Workers｜Lee Cheol-hee｜Wisdom House｜312 pages｜20,000 KRW