Designation of Shipbuilding Industry as Special Support Sector and Extension of Support Period for 7 Crisis Areas by One Year... Until the End of Next Year

Support for 7 Areas Including Geoje and Ulsan Dong-gu
Revision of Work-Study Parallel Training Occupations and Education Training Standards

Hyundai Heavy Industries dock view. (Photo by Asia Economy DB)

[Sejong=Asia Economy Reporter Moon Chaeseok] The government announced on the 16th that it has decided to extend the designation period of the shipbuilding industry as a special employment support sector and the designation period of seven employment crisis areas, including Geoje City in Gyeongsangnam-do, from the end of this year to the end of next year.

The Ministry of Employment and Labor held the '9th Employment Policy Deliberation Committee of 2021' in writing over three days from the 14th to today and resolved this matter. The special employment support sector is a system where the government designates industries at risk of rapid deterioration in employment conditions and provides various supports to employers and workers. Employment crisis areas are regions supported due to serious employment stability issues caused by large-scale corporate bankruptcies or restructuring. The seven supported areas include Geoje City, Gunsan City in Jeollabuk-do, Tongyeong City, Goseong County, Jinhae-gu of Changwon City in Gyeongsangnam-do, Mokpo County and Yeongam County in Jeollanam-do, and Dong-gu of Ulsan Metropolitan City.

The committee judged that although recent ship orders have increased, it will take another 1 to 2 years for the financial situation of the shipbuilding industry to improve. They also considered that the number of insured employees in the shipbuilding industry has been declining since last year due to the impact of COVID-19. Therefore, they concluded that it will take considerable time for employment recovery in the shipbuilding industry and decided to extend the designation of the shipbuilding industry as a special employment support sector. Most employment crisis areas continue to experience employment instability, with an increasing proportion of temporary and daily workers. The committee also diagnosed that the regional economic sentiment remains poor.

Meanwhile, besides extending the designation periods for special support sectors and crisis areas, the Ministry of Employment and Labor prepared and announced support measures for work-study dual system. They plan to add 10 occupations related to the Fourth Industrial Revolution, such as connected car software development, as new technology training occupations. They also divided two existing occupations that required specialization and segmentation into eight occupations. For example, the 'non-destructive testing' field was subdivided into 'ultrasound, radiation, magnetic, and penetrant testing' fields. Additionally, reflecting the newly established and subdivided occupations and changes in essential competency units due to NCS revisions, they improved the education and training standards for 117 occupations.

Minister of Employment and Labor Ahn Kyung-deok emphasized, "We will do our best to support so that the improvement in shipbuilding industry order performance can lead to employment recovery in the shipbuilding industry and related regions," and added, "We will make further efforts for a complete and inclusive employment recovery, including sectors deeply scarred by COVID-19 such as face-to-face service industries and temporary and daily workers, along with the shipbuilding industry."

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