[Senior Trend] The Era of Seniors Starting Small Businesses and Creating Jobs Themselves

In the past, people tended to spend their retirement years quietly. The term "여생 (yeosaeng)" means the remaining life. According to the Japanese book "Senior Trend 2020," when baby boomers were asked, "Do you want to create your own lifestyle in the years ahead?" 88.2% of those aged 40 to 60 answered yes. Among those in their 50s, it was 88.5%, and among those in their 60s, 88.8%. This reflects the belief that even after retiring from a company, one does not retire from society. Among specific activities, "startups" and "job creation" (창직, changjik) are gaining popularity among seniors. "Changjik (創職: Job Creation)" has various interpretations but generally refers to creating new jobs or professions that did not exist before or redesigning existing ones.

Last week, I had the opportunity to review statistics and cases related to senior startups and job creation. According to the Federation of Korean Industries, while the total number of self-employed people decreased from 5.73 million in 2017 to 5.55 million in 2021, the number of self-employed people aged 60 and over increased by 21.4%, from 1.59 million to 1.93 million. The Ministry of SMEs and Startups announced that in 2022, senior startup cases for those aged 60 and above exceeded 120,000, setting a record high. These startups were concentrated in retail and food service sectors such as restaurants, coffee shops, fried chicken shops, and pubs, and the number of closures also increased. In fact, senior startups are sometimes pointed out as one of the causes of "old-age bankruptcy," and there are considerable concerns and opposition. Many fall victim to scams, and since the industries are limited and competition is fierce, especially in franchise sectors, many startups end in failure. Although many jobs disappear and emerge every year, there is also anxiety about whether job creation is something only young people can adapt to.

Nevertheless, the four senior cases featured in SBS News Story "Conditions for Senior Startup Success? Retirement is Another Beginning" were different. They involved startups and job creation in home repair, woodworking shops, brain health magazines, and tools for the visually impaired. In the case of job creation involving senior learning materials, know-how from creating women's magazines during their working years was utilized. Although unrelated to their previous careers, one home repair entrepreneur prepared by learning new skills and started the business anticipating increased demand due to the growing number of old houses. Another used experience working at a broadcasting station to create and distribute art teaching aids for the visually impaired using 3D technology. These individuals in their 50s and 60s had different professional fields, but they shared a common mindset: they discarded thoughts about who they used to be and approached everything with a beginner's attitude, learning one step at a time. They faced difficulties during the startup process and had weaknesses such as lack of digital skills. However, they chose businesses with low startup costs and steady demand. They also enjoyed continuously learning and discovering new things, feeling fulfillment and gratitude in pioneering their own work with a long-term perspective.

“Senior job creation” that can be done with zero capital is also a growing area of interest. There are various unfamiliar professions such as pet funeral directors, beautiful road researchers, senior sports experts, traditional liquor storytellers, urban farmers, digital funeral directors, and tablet painters. Jo Gwan-il from the Creative Management Institute is a representative example. In his 70s, he decided to become a YouTuber, studied related books at bookstores, researched promotional thumbnail phrases himself, and grew his channel. He now has 220,000 subscribers and is a popular YouTuber. There is also Jo Yeon-mi, who created Korea’s first "Senior Planner" qualification course for future planning for the elderly. She conducts activities linked to forest healing to support seniors' emotional stability. Others have started free lectures on long-cultivated hobbies such as knitting, plants, and stones (suseok), creating instructor positions, becoming "knowledge farmers," and writing books to become authors. They create their own job titles and analyze their personal capabilities. While utilizing existing experience and knowledge is important, they also draw career roadmaps for job creation/startups by finding what they truly enjoy after retirement. Startups driven solely by money tend to be less enjoyable, lack know-how, and often end in failure.

The weight of retirement varies by person, but life afterward is (truly) long. Retirement planning expert Kang Chang-hee calculated the meaning of "31 years after retirement." Assuming an average retirement age of 51 and life expectancy of about 82, multiplying 11 hours of free time per day by 365 days yields 124,465 hours. The average annual working hours for employed people is 1,967 hours. In other words, 31 years after retirement feels like 63 years of active working life. For those lucky enough to retire in their 60s with guaranteed retirement, calculating about 10 years yields around 40,000 hours, equivalent to about 20 years of active working life. Even if they enjoy freedom, play enthusiastically, and take care of their health, it is by no means a short time.

The term "Senior Tsunami" emerged with the retirement of the baby boom generation. More seniors are thinking about and taking action toward reemployment, startups, and job creation for their third act in life. Of course, there are many cases of failure and frustration, so caution is necessary. Nevertheless, the future life structure is becoming one where relying on children or government support is increasingly difficult. The positive aspect is that people in their 60s today are as vibrant as young people. Our chances of success or failure are unrelated to age. It is important to keep learning, sharing, and aiming for economic independence through steady action, and this is the key to living a "lifelong active" life. I sincerely support moving forward in a direction that creates a future for seniors that even young people admire.

Lee Boram, CEO of Third Age

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