70% of Small Business Owners Say Work-Life Balance Worsened Due to COVID-19

Leisure Time and Leisure Spending Both Decrease
Business Conditions Worsen... Threefold Increase in Small Business Owners Considering Closure Since COVID-19

On the morning of the 12th, a market alley in Jung-gu, Seoul, appeared deserted with no people around. [Image source=Yonhap News]

[Asia Economy Reporter Kim Suhwan] It has been revealed that the novel coronavirus infection (COVID-19) has further worsened the work-life balance (WLB) of small business owners.

According to the Korea Federation of Small and Medium Business on the 14th, among the respondents of the "Survey on Changes in Work and Life of Small Business Owners Due to COVID-19" conducted last year with 1,006 small business owners, 71.3% answered that their work-life balance has deteriorated compared to before COVID-19. In particular, a high percentage reported increased chronic fatigue and depression (78.5%) and a decline in work quality (74.1%), indicating a direct negative impact on their quality of life.

Specifically, the proportion of small business owners engaging in leisure activities (37.0%) decreased by more than 10% compared to before COVID-19 (47.1%), and life satisfaction also remained low at 5.22 points out of 10. Leisure time (23.2 hours → 22.0 hours), average monthly leisure expenses (260,000 KRW → 160,000 KRW), and household expenses (2.82 million KRW → 2.69 million KRW) all declined as well.

Additionally, the biggest factors threatening work-life balance (multiple responses allowed) were identified as "economic downturn due to domestic demand instability caused by COVID-19" (94.3%) and "lack of economic leeway due to unstable income" (80.3%), reflecting how anxiety caused by COVID-19 has influenced perceptions of work-life balance.

COVID-19 has negatively affected not only quality of life but also the business conditions of small business owners. Average monthly sales decreased by 25.9% compared to before COVID-19, and operating profits also dropped by 35.6%. Notably, the proportion of small business owners considering business transformation or temporary/permanent closure after COVID-19 (15.4%) increased more than threefold compared to before COVID-19 (4.9%).

Choo Moon-gap, Head of the Economic Policy Division at the Korea Federation of Small and Medium Business, stated, "As COVID-19 has prolonged, the group facing the greatest difficulties is small business owners," and added, "The government must support small business owners so that they can recover both economically and mentally."

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