Economically Inactive Seniors Hit Record High of 5 Million
By Lee Hyo-sik
Staff Reporter
The number of economically inactive senior citizens has exceeded five million for the first time in history, with many elderly giving up searching for jobs amid the tight labor market.
Korea's rapid population aging has pushed up the number of individuals aged over 60 who do not engage in economic activity to a record-high.
According to Statistics Korea Thursday, the economically inactive population over 60 years old totaled 5.01 million in December, up 309,000 from the same month a year earlier.
The figure was the highest ever since the statistical office began compiling data and 1.7 million more than the 3.3 million in December 1999.
The number of senior citizens who weren't economically active accounted for 30.8 percent of the nation's total of 16.25 million, up from 23.3 percent 10 years ago.
On the other hand, economically active senior citizens totaled 2.45 million, down 32,000 from the previous year, indicating that it has become more difficult for seniors to find jobs.
The economically active population includes employed and unemployed individuals engaged in job seeking.
"The rise in the number of economically-inactive senior citizens is largely attributed to the overall growth in the number of elderly people. But at the same time, an increasing number of senior citizens who are physically able to engage in productive labor have given up looking for work and become part of the economically inactive population as many companies here are unwilling to hire older workers," a Statistics Korea official said.
He also said many senior citizens decided to stay home as the government's public-sector job program has come to an end. Seasonal factors slashed the number of temporary positions in agricultural and construction sectors, many of which are filled by senior citizens.
"It is important for many seniors to continue to work and make money as they are not adequately prepared for life after retirement. More companies should implement a wage peak system allowing older workers to remain employed beyond the retirement age. The government should also offer more state-sponsored vocational training programs to help senior citizens find jobs," the official said.