[Anchor Lead]
The number of employed people in South Korea grew by just 123-thousand year-on-year in the month of April. The on-year growth has hovered in the 100-thousand range for the third straight month now, for the first time since 2008. We take a look at why the employment situation is not getting better.
[Pkg]
The shutdown of a General Motors plant in Gunsan has dealt a harsh blow to the region's economy. Nearly half of the people employed in the manufacturing sector could lose their jobs. Worsening conditions in manufacturing have affected the overall poor job figure. The number of jobs in manufacturing which posted gains for ten months straight is also down by almost 70-thousand. Jobs are also fewer in wholesale and retail including the automobile and auto parts sectors. The number of jobs in accommodations and restaurant services has also declined over the past year. Overall, the economy is not good. This may be in part due to the increased minimum wage. This is why long-term government measures to improve the industrial structure are necessary in addition to short term solutions.
[Soundbite] Lee Geun-tae (Chief Researcher, LG Economic Research Institute) : We need government support to sharply grow the leisure, culture and health sectors in order to create demand and employment concurrently."
Even if the supplementary budget bill is approved in parliament on Friday, it will take time to generate effects and improve job conditions in the immediate future.
