These days, unemployment rate among youths in Korea is getting higher. According to The National Statistical Office, there are 560,000 unemployed youths aged 15 to 29 in February 2016. This rate has hit the highest record. Like this shows, unemployment is a severe problem for youth in Korea, and the causes lie in structural problems, rather than individuals themselves: rapid development of technology, companies hiring high percentage of non-regular employees, and long-term economic recession.
First, rapid development of technology causes unemployment rate among youths higher. The biggest advantage that youths have is their physical power. In the past, there were a lot of young workers in the workplace that requires strong power. But today, technology that has been developing very fast replaces labor force. Therefore, demand for youth decreases because there is no need to use manpower to work.
Another reason why youth unemployment problem is getting much more serious is that companies hire high percentage of non-regular employees. Temporary positions do not guarantee job security. Also, for non-regular employees themselves to keep their jobs, they focus on immediate achievements. Thus, it leads to economic inefficiency and it is hard for them to develop professionalism.
Finally, the rate of unemployment among youths is increasing due to long-term economic recession. When economic recession continues, companies become hesitant to make an investment in new businesses since they are afraid of losing their money during economic depression. If companies do not make an investment, no jobs are made, and employment cannot be created. Plus, original workers mind retiring because of economic slowdown, so companies rarely try to hire new employees.
To wrap up, there are three reasons at a structural level why unemployment among youths in Korea is getting much more severe. Technology is developing fast and it replaces labor force. Also, there is a high percentage of temporary positions in most companies. Finally, long-term economic recession interrupts new recruits. As unemployment problem among youths continues to be serious for few years, institutional and conscious solutions should be set up definitely.
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