Wider employment generation gap between those in 20s and 50s

With more older people delaying retirement, younger people staying unemployed longer and struggling to find jobs

This graph shows the percentage of paid jobs held by people in their fifties (the red line) and in their 20s (the grey line) over the years 2011-2014. Over that time period, the percentage held by people in their 50s rose from 16.7% to 18.9% and the percentage by those in their 20s fell from 20% to 18%. The data are from Statistics Korea.

The employment generation gap is deepening, with jobs for those in their fifties outnumbering those for twentysomethings, recent statistics show.

The trend is being seen as the result of members of the Baby Boom generation born between 1955 and 1963 actively seeking new employment, while young people continue to struggle with a lack of available jobs.

According to administrative statistics on paid employment in 2014 published by Statistics Korea on Nov. 27, people aged 30-39 and 40-49 respectively accounted for 27.9% an 26.8% of the 17,053,000 paid jobs last year. Next in line were the 50-59 and 20-29 age groups at 18.9% and 18% - leaving twentysomethings with the lowest share outside of those ten and under or 60 and over.

The statistics considered the number of jobs rather than people employed. For example, a single person working at a convenience store in the morning and as a private academy instructor in the afternoon would have been counted as two different jobs.

People in their fifties first overtook twentysomethings as a percentage of the job market in 2013. Their rate has risen yearly from 16.7% in 2011 to 17.6% in 2012, 18.3% in 2013, and 18.9% last year. Meanwhile, the percentage of jobs taken by those aged 20-29 slid two percentage points in the three years from 2011 to 2014, falling from 20% to 18%. The gap between them in terms of percentage of jobs has opened to 0.9 percentage points as a result.

The biggest reason appears to be active job-seeking by those in their fifties. Total paid jobs increased by 556,000 last year, the largest share of which - 34.8% - went to people aged 50-59. Twentysomethings accounted for just 10.8%.

“The percentage of jobs held by people in their fifties has been rising as members of the Baby Boom generation have opted to look for work again after resigning or retiring,” explained a Statistics Korea source.

“Among people in their twenties, we’re seeing delayed employment and difficulty finding work,” the source added.

Indeed, people aged fifty and older have been leading the recent increase in employment. Statistics Korea data showed a rise of 180,000 employees aged 50-59 in July, compared to 25,000 aged 20-29 - a nearly eightfold difference.

“The trend has continued this year, with more jobs going to people in their fifties than those in their twenties,” the Statistics Korea source said.

Figures also showed an uncertain labor market, with more than half of employees quitting their jobs within three years. Of the paid employment in the survey, 57.7% of jobs had been held for under three years, with 29.2% held for less than a year and 28.5% held for one to three years.

The number of jobs available for ten or more years of employment remained in place at 17.6%. While the South Korean government is currently planning to introduce a wage peak system as more and more people delay retirement, the numbers support the contention that such a system would only apply to a small segment.

By Kim So-youn, staff reporter

Please direct questions or comments to [[e-mail]]