[Factories Are Aging] Even Job Seekers in Their 60s Rejected... Labor Shortage Hits Root Industry Companies

Smaller Companies Face Harsher Conditions, Root Companies More Vulnerable
Even Workers in Their 60s Prefer Comfortable Places, Leading to 'Job Rejections'
Military Service Special Cases and Industry-Academia Cooperation Programs Show Minimal Effect
Finding Foreign Workers Is Extremely Difficult Due to COVID-19
Need for Timely Leave and Efficient Work Distribution

[Asia Economy Reporters Kim Bo-kyung and Lee Jun-hyung] Kim Jun-man (alias), the CEO of an aluminum processing company in Anseong, Gyeonggi Province, recently rejected a job applicant in his 60s during an interview. Kim said, "When I was about to hire, the applicant refused to join, saying he would go to a more comfortable place," adding, "I told him to contact me if he changes his mind," sighing deeply. Among the 16 production workers at his company, only two are in their 20s, including those serving as alternative military service personnel. Kim said, "To keep the factory running, we need to train young employees, but the industry-academia cooperation system is ineffective, and due to COVID-19, even foreign workers are hard to find, causing a severe labor shortage."

A copper plate processing company A in the metropolitan area has been running a training program linked with a local technical high school for several years but has seen little effect. The company's CEO, Choi Yoo-seop (alias), said, "Young generations do not come even if we offer sufficient wages," adding, "We have been using the alternative military service system for five years, but most leave after their mandatory period ends."

The aging of manufacturing workers has reached a serious stage. According to the Ministry of Employment and Labor and the Small and Medium Business Research Institute on the 24th, the average age of manufacturing workers in companies with 5 to 9 employees was 45.4 years in 2019, which is 9.2 years higher than 36.2 years in 1999, 20 years earlier. The average age of workers in small and medium-sized enterprises with fewer than 500 employees increased by 6.5 years (from 36.1 to 42.6 years), and the average age of workers in large enterprises with 500 or more employees rose by 6.1 years (from 33.8 to 39.9 years), which is relatively better. These statistics clearly show that smaller companies are more vulnerable to aging.

The situation in the root industry is even more severe. The root industry, which forms the foundation of manufacturing, includes sectors that produce products using technologies such as casting, mold making, welding, and heat treatment to process materials. Most of these companies are small in scale and have poor working conditions, earning the label of '3D (Dirty, Difficult, Dangerous) industries.' However, it is not fair to blame workers for avoiding hard, dangerous, and low-paying jobs. It is somewhat natural that young people do not want to work in such workplaces.

Professor Lee Jeong-hee of the Department of Business Administration at Chung-Ang University explained, "Due to wages and working conditions, young people have a strong aversion to small and medium manufacturing industries," adding, "The uncertain outlook of the small and medium manufacturing sector itself is also one of the reasons for avoidance." Professor Lee said, "What the younger generation values more than wages is comprehensive working conditions such as leaving work on time and clear division of tasks."

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