Gov't to announce details on job creation plan for youths

Korea will come up with detailed measures to create jobs for young people soon in response to recent challenges in the labor market, the finance minister said Thursday.

Finance Minister Koo Yun-cheol made the remark during a meeting with economy-related ministers in Seoul, noting that employment among young people, as well as in the manufacturing sector, remains sluggish despite overall gains.

On Wednesday, the Ministry of Data and Statistics said Korea added 108,000 jobs in July from a year earlier, but the employment rate for those aged 15 to 29 fell 1.6 percentage points to 44.2 percent, declining on year for the 27th consecutive month.

The unemployment rate for the age group rose 1.3 percentage points to 6.8 percent, marking the largest on-year increase in more than five years.

"The prolonged [Iran] war, the unprecedented heat wave, along with a drought in some regions, are weighing on employment and consumer prices," Koo said.

"The government plans to promptly prepare and announce measures to revitalize employment among young people, along with tailored policies for sectors facing challenges, such as manufacturing and construction," Koo added.

Jobs in the manufacturing sector fell by 68,000 in July from a year earlier, marking the 25th consecutive month of decline. Construction-related jobs lost ground on year for the 27th consecutive month as well.

"The government will especially implement the three megaprojects initiative at full speed so that corporate investment leads to a virtuous cycle of securing growth engines and creating quality jobs preferred by young people," Koo said.

Korea unveiled the three megaprojects in late June, along with plans for large-scale investments in a semiconductor production cluster, physical AI and AI data centers in regional areas.

Yonhap