[Inside Chodong] Policy Support Needed for Household Care Services as a Solution to Low Birth Rate

"I believe that household care services can be a solution to the pressing issues we currently face, such as the declining birth rate and aging population." This is what Yeon Hyunju, CEO of Saenghwal Yeonguso, said at the 'Policy Discussion on AI Household Care Platforms and Solutions for Low Birth Rate and Aging Population' held in Pangyo on the 26th. As a working mother raising three children, she is not only the CEO of a company that provides household care services but also a user herself. She knows better than anyone that childcare is not just about raising children. It is accompanied by a tremendous amount of housework, such as cleaning, dishwashing, and laundry. The burden of household chores increases when there are children. An analysis of customer data from Saenghwal Yeonguso, which provides home cleaning services, showed that 70% of users were households with children.

Yeon’s argument that household care services can help solve the low birth rate problem stems from this point. When there are children, household chores increase, and dual-income couples often argue about how to handle them. The thought of raising even one child feels overwhelming, making the idea of having a second child seem out of reach. Anyone who has raised children has had a similar experience. However, Yeon believes that if household chores could be resolved, more people might be willing to have additional children. This leads to the conclusion that making household care services universally accessible could contribute to raising the birth rate.

Household care services also include child care support. By connecting families with childcare helpers, these services create an environment where it is more feasible to balance work and parenting. Jung Jiye, CEO of Mam Pyunhansesang, is also raising a first-grade elementary school child and is benefiting from her company’s childcare platform. She relies on 'Cheongso Yeonguso' for household chores. These services have enabled her to continue her career as a working mother.

The voices of users are even more vivid. At the discussion, a user who was one month away from giving birth said, "I plan to return to work about a year after giving birth, but I am more worried about what happens after that," adding, "Rather than one-time support at the time of childbirth, there is a greater need for a realistic environment where it is possible to balance work and parenting even after returning to work." A working mother in her 40s also said, "Raising children was not easy, but after using household care services effectively, I began to consider having a second or even third child."

In addition to the low birth rate, household care services also present a practical alternative to another social issue: jobs for the elderly. It is currently estimated that there are about 600,000 people working in the household care industry. Of these, 160,000 work through Saenghwal Yeonguso’s platform, 'Cheongso Yeonguso,' with an average age of about 55, and the largest group is between 50 and 60 years old. This is why CEO Yeon emphasizes that household care services are "at the intersection of solutions for low birth rates and elderly employment."

The challenge is ensuring that everyone can access these services. In the past, household helpers were considered a luxury for affluent families. Many relied on local employment agencies, which often lacked transparency. Household care platforms have made these services universal. Households using home cleaning services through the platform are not wealthy; many are dual-income couples, newlyweds, families with children, and even single-person households. According to Cheongso Yeonguso, the average home size of its users was in the 20-pyeong range (approximately 66 square meters). The average monthly expenditure was 180,000 won. To help solve the low birth rate and elderly employment problems, it is necessary to further reduce this financial burden so that more people can use the services. The industry’s first recommendation is income tax deductions. The attention of the next administration is needed.

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