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| Deputy Prime Minister and Finance Minister Hong Nam-ki, speaks during a meeting at the Government Complex in Gwanghwamun, Thursday. Yonhap |
By Lee Kyung-min
The government said Thursday that it plans to create over 1.56 million jobs in the public sector as part of emergency measures to fight the rapid increase in unemployment brought on by the COVID-19 pandemic.
The announcement comes on the heels of the biggest year-on-year job losses in April for two decades, suffered mostly by low-income, temporary workers who are not subscribed to the state-run Employment Insurance plan.
Of greater concern is the number of those experiencing temporary layoffs ― people who are statistically considered employed ― hovering at over 1 million for a second consecutive month, meaning those currently receiving unemployment benefits could lose their jobs altogether if the economy fails to pick up quickly.
Yet experts question the efficacy of short-term, low quality jobs created with taxpayers' money, saying the measures will have little to no desired outcome without creating the environment to help resume much-stalled corporate activities via tax cuts and deregulation.
Deputy Prime Minister and Finance Minister Hong Nam-ki said the government recognizes the gravity of the ongoing shock to the job market, highlighting the need to come up with broad measures not only to create jobs but sustain those created.
"The recent massive loss of jobs has prompted the government to shift its focus from identifying an immediate solution to strengthening the social safety net, thereby protecting the most vulnerable group of people in society," Hong said in a meeting at the Government Complex in Gwanghwamun. "The government will also spare no effort in working to bolster consumption, investment, deregulation and removing administrative inefficiencies to help sustain the state-run job creation initiative," he added.
The government will resume its job creation program that was temporarily halted due to the virus pandemic, making some 445,000 jobs available mostly to the elderly and those in the low income bracket. The jobs will involve outdoor work that does not require coming into close contact with other people.
In addition to the resumption of the existing project, at least 550,000 new jobs will be created for young jobseekers and those with low incomes. For young jobseekers, 100,000 jobs related to digitization will be made available in the public sector and 50,000 at private firms.
About 50,000 openings will be available for jobseekers who want to participate in paid career building activities to bolster their resume, while 300,000 jobs will be offered to people in the low income bracket.
Around 50,000 jobs will be at small- and medium-sized enterprises (SMEs) that apply for state subsidies which are granted only if they hire new workers.
State-run examinations for 48,000 civil service positions will resume, months after the process, including tests and interviews, was delayed due to the pandemic.
Seoul University professor of economics Kim So-young said the government measures were warranted yet efficiency and productivity concerns should not be left unaddressed.
"Creating jobs for people who lost their source of income due to the pandemic is needed, but the government should be mindful that low productivity jobs will hurt corporate competitiveness, a major obstacle to strengthening the country's economic vibrancy," he said.
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