44% of Mid-Sized Companies Plan New Hires in the Second Half of the Year

Korea Federation of Middle Market Enterprises Releases Results of "2025 Second Half Employment Outlook Survey for Mid-Sized Companies"

Despite ongoing domestic and global economic instability, nearly half of mid-sized companies are planning new hires in the second half of the year, according to a recent survey.

On July 21, the Korea Federation of Middle Market Enterprises announced the results of its "2025 Second Half Employment Outlook Survey for Mid-Sized Companies." According to the survey, 44% of the mid-sized companies surveyed said they have hiring plans for the second half of the year. The survey was conducted over two weeks from May 26 to June 10, targeting 800 mid-sized companies.

The survey found that among mid-sized companies planning new hires, 77% expect to either maintain (59.1%) or increase (17.9%) their hiring volume compared to the first half of the year. Only 23% anticipated a reduction in hiring. The main reasons cited for increasing hiring compared to the first half were "replenishing workforce due to employee turnover (38.1%)," "business expansion and new business initiatives (25.4%)," and "improved performance (22.2%)." For those expecting to reduce hiring, the reasons included "deteriorating performance (30.9%)," "increased labor costs (28.4%)," and "concerns about economic downturn (24.7%)." In addition, 86.4% of new hires are expected to be full-time positions, including entry-level (45.5%) and experienced (40.9%) employees, while contract positions account for only 13.6%.

However, mid-sized companies continue to face significant challenges in securing talent. As many as 88% of mid-sized companies reported difficulties in finding suitable candidates in fields such as "technology and production (30.3%)," "research and development (23.8%)," "sales and marketing (16.3%)," and "administration and management (15.0%)." To address chronic workforce issues, mid-sized companies emphasized the need to strengthen policy support, including "expanding employment support programs (25.1%)," "enhancing employment flexibility (21.1%)," "increasing tax support (20.5%)," "strengthening workforce training programs (14.9%)," and "developing infrastructure for industrial complexes and regional companies (10.8%)."

Lee Hojun, Executive Vice Chairman of the Korea Federation of Middle Market Enterprises, stated, "While it is a positive sign that 44% of mid-sized companies have announced new hiring plans for the second half of the year, we must also pay attention to the concerns of the remaining 56% that have not set hiring plans, due to factors such as 'deteriorating performance and austerity management (28.3%),' 'increased labor costs (28.1%),' and 'concerns about economic downturn (20.6%).'" He added, "To recover the youth employment rate, which has been declining for 14 consecutive months, and to realize the hiring outlook of mid-sized companies, it is urgent to strengthen employment support policies based on real demand in the field by each government ministry. At the same time, from the perspective of corporate growth as the foundation for jobs, it is necessary to seek forward-looking solutions to labor issues such as extending the retirement age, revising ordinary wages, and restructuring working hours."

This content was produced with the assistance of AI translation services.