Government "Deep Concern Over Repeated Spread of Employment Shock... Prompt Implementation of Stabilization Measures"

Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, chaired the meeting of related ministers (Nokshil meeting) at the Government Seoul Office Building on the 13th, focusing on the 'December 2020 and Annual Employment Trends,' reviewing the employment market situation and discussing response directions.

[Asia Economy Reporter Kwangho Lee] The government expressed "deep concern" over the fact that the number of employed people decreased by more than 600,000 compared to a year ago in December last year, but also summarized that it was "already anticipated."

On the 13th, Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, chaired the 'Ministerial Meeting' (Noksil Meeting) at the Government Seoul Office to review the employment market situation and discuss countermeasures under the theme of 'December 2020 and Annual Employment Trends.'

The meeting was attended by Minister of Employment and Labor Lee Jae-gap, Statistics Korea Commissioner Ryu Geun-kwan, Blue House Chief Economic Secretary Lee Ho-seung, Blue House Job Secretary Im Seo-jeong, along with Deputy Prime Minister Hong.

According to the employment trends announced by Statistics Korea that day, the number of employed people in December last year decreased by 628,000 compared to a year earlier, and on an annual basis, it decreased by 218,000. This is the first time in 11 years since 2009 (a decrease of 87,000), and the largest decline in 22 years since the 1998 financial crisis (1,276,000).

Regarding this, the attendees stated, "We express deep concern over the employment shock expanding again due to the third wave of the novel coronavirus infection (COVID-19)," and "However, the relatively high employment growth in the 2-3 months immediately before the COVID-19 crisis acted as an additional burden factor on this employment situation."

They continued, "As discussed at last month's Noksil Meeting, since the deterioration of employment in December due to the third wave of COVID-19 was already anticipated, it is important to implement the livelihood support and employment market stabilization measures that have been prepared in response without delay and smoothly."

The government plans to execute 90% of major cash support projects, including the 'Employment Stability Support Fund for Special Types of Workers and Freelancers' and the 'Small Business Owner Support Fund,' among the tailored damage support measures worth 9.3 trillion won for COVID-19 affected groups, before the Lunar New Year holiday.

Deputy Prime Minister Hong said, "We will promptly start public job projects such as 1.04 million direct jobs from the beginning of the year to actively supplement the insufficient market jobs," and added, "If necessary according to the employment market situation, we will prepare additional employment measures, including the 'Job Policy Review and Response' to be discussed at today's Emergency Economic Central Countermeasures Headquarters (Economic Central Headquarters) meeting."

At the Economic Central Headquarters meeting, plans to secure employment recovery momentum this year will be discussed, including ▲ job creation in public and private sectors ▲ strengthening job retention and livelihood support ▲ supporting vulnerable groups' entry and return to the labor market.

Deputy Prime Minister Hong expressed, "As the economy and employment situation normalize after COVID-19, we will faithfully implement measures to strengthen employment and social safety nets, such as the implementation of the National Employment Support System, promotion of universal employment insurance, and abolition of the support obligation criteria for basic livelihood security benefits, to achieve an 'inclusive recovery' that reduces the 'COVID gap.'"

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