Employment Insurance Subscribers Increase by Over 200,000 for Fourth Consecutive Month... Manufacturing and Construction Slump Continues

The number of regular employment insurance subscribers increased by about 270,000 in April, marking the fourth consecutive month of growth in the 200,000 range. However, this increase was concentrated among those aged 60 and older, while the manufacturing sector saw its subscriber numbers decline for 11 consecutive months and the construction sector for 33 consecutive months, indicating that the job market remains in a downturn.

Yonhap News Agency

According to the 'April Labor Market Trends Based on Employment Administration Statistics' released by the Ministry of Employment and Labor on May 11, the number of regular employment insurance subscribers stood at 15,807,000 at the end of last month, up 269,000 (1.7%) from a year earlier. The monthly increase in employment insurance subscribers maintained the upper 200,000 range for four consecutive months, recording 263,000 in January, 259,000 in February, 269,000 in March, and 269,000 in April.

The Service Sector Drives Growth, While Manufacturing and Construction Remain Weak

By industry, the service sector led the overall increase, adding 284,000 subscribers (2.6%). In detail, health and welfare services saw the largest growth with 117,000, followed by accommodation and food services (54,000), business services (26,000), and professional, scientific, and technical services (23,000), among most other industries.

In contrast, the manufacturing sector saw a decrease of 8,000 subscribers (0.2%) year-on-year, marking the 11th consecutive month of decline. While electronics, telecommunications, and food sectors saw an increase, there were clear decreases in metal processing, textiles, and rubber·plastics. The construction sector, affected by an industry downturn, lost 88,000 subscribers, recording its 33rd consecutive monthly decline. However, the magnitude of the decrease has been gradually narrowing.

Sharp Increase Among Subscribers Aged 60 and Older, While Youth Declines for 44 Months

By age group, those aged 60 and older accounted for a significant portion of the increase with 206,000, while those in their 30s (88,000) and 50s (47,000) also saw increases. However, the number of subscribers aged 29 and younger (-64,000) and those in their 40s (-7,000) declined, influenced by factors such as population decrease. Cheon Gyeonggi, Director of Future Employment Analysis at the Ministry of Employment and Labor, stated, "The number of youth subscribers has declined for 44 consecutive months since September 2022," explaining that, "Along with a decreasing population, the youth employment rate has dropped since May 2024."

By gender, the number of male subscribers increased by 86,000 to 8,654,000 compared to the same month last year, and the number of female subscribers rose by 183,000 to 7,154,000.

0.45 Jobs Per Person: "Job Market Remains Challenging"

In April, the number of new job openings through the integrated employment service platform 'Employment24' was 174,000, up 9,000 (5.6%) from the same month last year, and the number of new job seekers was 388,000, an increase of 2,000 (0.5%). The job opening ratio, indicating the number of jobs per job seeker, was 0.45, a slight increase from 0.43 in the same month last year. However, the Ministry of Employment and Labor notes that the ratio needs to reach the annual average of 0.56 for a full recovery in the job market. Director Cheon commented, "A job opening ratio of 0.45 is an improvement over last year, but since it still falls short of the annual average of 0.56, the job market remains difficult."

Meanwhile, the number of new applications for job-seeking benefits (unemployment benefits) in April was 100,000, down 3,000 (2.7%) from a year earlier, marking the third consecutive month of decline. The total amount paid out in job-seeking benefits was 1.1091 trillion won, a decrease of 48 billion won (4.1%) compared to the same period last year.

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