Korea posts slowest wage job growth in Q1 on manufacturing slowdown

Korea recorded its slowest wage job growth in the first quarter of 2025, primarily due to a slowdown in the manufacturing sector, the backbone of the country's economy, and a continued slump in the construction industry, government data showed Tuesday.

The number of paid employee positions stood at 20.54 million as of February 2025, up 15,000 from the same period a year earlier, according to the data from Statistics Korea.

The figure represents a sharp slowdown from the 153,000 and 246,000 jobs newly added in the fourth and third quarters of last year, respectively. It also marks the smallest quarterly gain since Statistics Korea began compiling such data in 2018.

The slight overall increase in wage jobs during the first quarter was mainly driven by employment growth in the health and social welfare sector, which added 109,000 jobs compared to a year earlier, the agency said.

In contrast, the manufacturing industry lost 12,000 positions, while the construction sector shed 154,000 jobs, marking the largest quarterly decline since data collection began, according to the agency.

A significant share of new positions was taken by older workers, reflecting the country's aging population.

By age group, the number of jobs for people in their 20s and younger dropped by 168,000. Employment for those in their 40s also declined, falling by 100,000.

In contrast, the number of paid jobs for those in their 60s and older rose by 197,000, while those in their 50s and 30s saw increases of 21,000 and 64,000, respectively.