S. Korea's unemployment up 16.9 percent on-year: report

A business closure notice on a former clothing store in Seodaemun-gu, Seoul on Monday (Yonhap)

Recent government data showed Thursday that the number of involuntarily unemployed people in South Korea reached 1.24 million in June, marking a 16.9 percent increase from the same month last year.

According to a report by Rep. Hwang Jung-a of the main opposition Democratic Party of Korea, the figure for June actually marked a substantial decrease compared to 1.89 million in January, and a slight increase from 1.23 million in May. But this year's monthly figures have risen considerably compared to one year ago.

Involuntary unemployment refers to those who lost their jobs despite wanting to work -- not counting those who voluntarily quit their jobs for reasons such as child care, illness, dissatisfaction with their wages, or reaching the legal retirement age. Hwang's report used data from Statistics Korea and the National Assembly Research Service.

This year's unemployment figures for January and February were 2.3 percent and 4.2 percent less, respectively, than for the same months in 2023. But from March to June, the on-year increase went from 5.9 percent and 6.9 percent, to 14.7 percent and 16.9 percent.

For June, the involuntary unemployment rate for those in their 50s was 27.1 percent higher than in June 2023, followed by 20.7 percent for those in their 40s and 17.8 percent of those aged 15-29. The on-year monthly increase for the 15-29 group has been steadily increasing since March when it was 1.1 percent.

"The government compliments itself for the economic recovery, but the actual livelihoods of the people are getting worse... It should allocate a supplementary budget for emergency measures," Hwang said.

There was an increase in involuntary unemployed among those in the science and technology field, up 21.7 percent compared to June of last years. This is possibly linked to the South Korea's recent budget cut in research in development, which sparked concerns over job security of scientists in the country.

But unemployment surged in other fields as well compared to a year before, including a 43.4 percent jump in manufacturing, 42.3 percent in information technology, and 34.1 percent in construction unemployment figures.

By Yoon Min-sik(minsikyoon@heraldcorp.com)