This Year’s Foreign Workers Employment and Unemployment Rates Slightly Rise from Last Year, Marking the 'Worst Ever' Record

Statistics Korea Announces '2021 Survey Results on Immigrant Residency and Employment Status'

[Sejong=Asia Economy Reporter Moon Chaeseok] The employment and unemployment rates of foreigners showed slight improvement compared to last year, when they deteriorated to historically worst levels.

According to the "2021 Immigrant Residence and Employment Survey Results" announced by Statistics Korea on the 21st, as of May, the number of foreign workers employed in Korea was 855,000, an increase of 7,000 (0.9%) compared to the previous year. The employment rate was 64.2%, up 0.5 percentage points from last year, which was the lowest since statistics began in 2012.

The number of naturalized citizens who obtained naturalization within the last five years and were employed was 31,000, an increase of 3,000 (9.4%) compared to the previous year. The employment rate was 63.6%, up 4.5 percentage points from last year. This is also a slight increase compared to last year, which was the lowest since statistics began in 2017. The statistics were compiled based on foreigners and naturalized citizens aged 15 and older residing in Korea.

The number of unemployed foreigners as of May was 54,000, a decrease of 15,000 (21.9%) compared to the previous year. The unemployment rate was 6%, down 1.6 percentage points from the previous year. The number of unemployed naturalized citizens was 2,000, a decrease of 400 (16.7%) compared to the previous year. The unemployment rate was 6%, down 1.7 percentage points from the previous year. Both foreigners and naturalized citizens saw their unemployment rates slightly ease after reaching the highest levels since statistics began last year.

Although the statistics show slight improvement, employment records by industry, especially in face-to-face service sectors heavily affected by COVID-19, have not improved. According to Statistics Korea, compared to last year, the number of foreign workers increased in construction (17,000, 19.4%) and agriculture, forestry, and fisheries (4,000, 7.2%), but decreased in mining and manufacturing (-9,000, -2.4%) and wholesale, retail, food service, and accommodation (-3,000, -1.7%). This indicates that employment in face-to-face service industries and manufacturing sectors has not increased significantly.

By wage level, the number of foreigners earning more than 3 million KRW per month increased by 46,000 (34.7%) compared to the previous year. Foreigners earning between 2 million and 3 million KRW increased by 13,000 (3.1%). Those earning between 1 million and 2 million KRW decreased by 49,000 (21.9%). For naturalized citizens, those earning more than 3 million KRW per month increased by 2,000 (55.6%), and those earning between 2 million and 3 million KRW increased by 1,000 (14.3%).

More than half (52.2%) of foreign workers earned between 2 million and 3 million KRW per month. The proportions of those earning more than 3 million KRW (21.9%) and those earning between 1 million and 2 million KRW (21.5%) were similar. Among naturalized citizens, the largest proportion earned between 1 million and 2 million KRW per month (41.2%), followed by those earning between 2 million and 3 million KRW (33%) and more than 3 million KRW (15.7%).

Despite the poor economic situation, about six out of ten foreigners answered that they were satisfied with their workplace in Korea. The combined response rate for "somewhat satisfied" (38.9%) and "very satisfied" (21.2%) was 59.1%. For naturalized citizens, this figure was 57.7%.

Excluding permanent residents (F-5 visa holders), 88.2% of foreigners hoped to continue residing in Korea after their stay period expired. The preferred methods of staying were extending the stay period (53.6%), obtaining permanent residency (14.6%), and acquiring Korean nationality (11.1%), in that order.

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