The global economy is facing several uncertainties, from changing in-demand skills to tariffs, and one country in particular is trying to balance a poor job market with a talent shortage for jobs in manual labor.
Where in the world? South Korea is looking at its worst job market in over a decade, disproportionately impacting younger (ages 15 to 29) workers, the Korea Herald reported. Young job seekers have also been on the hunt for a job longer than in previous years with many workers under 40 needing at least four months to find a job, Korea JoongAng Daily reported.
Many young South Koreans have limited job experience, which further limits their job prospects, and economists say that could stunt the country’s economic growth. Most (75%) unemployed workers said there are not enough “quality” job opportunities in South Korea, and 32% said that the jobs available don’t pay enough, according to the Korea Herald.
“Uncertainty at home and abroad has made companies more risk-averse,” Lim Young-tae, head of employment policy at the Korea Employers Federation told the Korea Herald. “They’re prioritizing candidates with experience, which makes it even harder for young people to land their first job.”
On the flip side, the country is also recruiting foreign workers, upsetting some local citizens who are out of work and are competing with immigrants for jobs in construction, the Korea Times reported. Some local tech companies are investing in workers from Indonesia and Turkey or are specifically targeting foreign students for internship programs, according to the Chosun Daily.
Quick-to-read HR news & insights
From recruiting and retention to company culture and the latest in HR tech, HR Brew delivers up-to-date industry news and tips to help HR pros stay nimble in today’s fast-changing business environment.
Satellite view. The US job market has cooled considerably since the spring of 2024, and younger workers, especially new college graduates, are struggling to find work, Forbes reported. The US federal government, the country’s largest employer, has cut tens of thousands of jobs since January. These job cuts also threaten government contracts as well, putting a strain on manufacturing companies like Boeing, and consulting firms like Deloitte. Meanwhile, the tech industry is struggling too, as IBM, Microsoft, and Intel have all announced staff reductions since March.
Adding to job seeker woes, there appears to be a disconnect between what graduates want and what employers can or want to provide, according to a new survey from ZipRectuiter. New graduates said their job hunt is taking longer than expected, compensation is falling short of what they had hoped, and fewer internships are converting to permanent work.
Young workers across the world may now have to settle for less than what the hope of the Great Resignation period offered with more plentiful job opportunities.