More middle-aged Koreans leave workforce, stop job hunting

More than 670,000 South Koreans in their 40s and 50s were neither working nor looking for a job last year, according to government data. The figure was more than 60,000 higher than the number of young people in the same position, a group that has become an increasingly prominent social concern.

A prolonged exit from the workforce among people in their 40s and 50s, a core segment of South Korea’s working population, could reduce household incomes, increase the risk of poverty in old age and weigh on domestic consumption, experts warn.

An analysis released Tuesday by the National Assembly Futures Institute, based on the National Data Agency’s economically active population survey, found that 674,000 people ages 40 to 59 were classified last year as being on a career break. The figure rose by 111,000 from 563,000 in 2016. It was also 65,000 higher than the 609,000 people ages 15 to 29 who were classified the same way last year.

In official statistics, the “taken a break” category covers economically inactive people who are not looking for work despite having no particular reason, such as child care, housework or preparing for employment. Last year, they accounted for 20.8% of all economically inactive people in their 40s and 50s, surpassing 20% for the first time.

The increase comes as more people in their 40s and 50s are being pushed out of the labor market by layoffs, early retirement and other involuntary job losses. Yet opportunities to find new work that draws on their experience or matches their qualifications are scarce.

Yoon, 60, spent more than two decades designing and overseeing construction projects involving cultural heritage sites before losing his job when his company shut down in late November last year. He recently gave up looking for work. Jobs that draw on his experience in cultural heritage are hard to find. He even obtained a forklift operator’s license in hopes of finding work at construction sites, but a downturn in the industry has left few employers willing to hire middle-aged workers.

Kwon Hyuk, a professor at Korea University’s Graduate School of Labor Studies, said employment policies have largely focused on young people and older adults, leaving middle-aged workers with fewer options. “People in their 40s and 50s bear the greatest responsibility for supporting their families, yet employment policies have largely overlooked them,” he said. “We need to quickly develop targeted support to help them return to the labor market.”


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