SEOUL, April 15 (AJP) -South Korea's headline jobs market maintained resilience in March as the impact of the Gulf war remained peripheral for now, but data pointed to worsening conditions for youth, signaling a structural job cliff for young people.
The number of employed people rose by 206,000 from a year earlier to 28.795 million, easing slightly from a 234,000 increase in February, according to data released by the Data and Statistics Wednesday.
The employment rate for those aged 15 to 64 — the OECD-comparable benchmark — stood at 69.7 percent, up 0.4 percentage points from a year earlier, supported by strong gains among those aged 60 and older.
The younger cohort remained in the doldrums. The employment rate for those aged 15 to 29 fell 0.9 percentage points year-on-year to 43.6 percent, while their unemployment rate edged up 0.1 percentage point to 7.6 percent.
The overall unemployment rate, in contrast, edged down 0.1 percentage point to 3.0 percent.
Job losses were concentrated among those in their 20s, down 167,000, while those in their 40s — typically prime working years — also shed 5,000.
Employment gains were largely seen among those in their 40s and 50s. By gender, employment declined among men in their 20s and 30s, while women posted gains in their 30s and 40s.
The trend has raised concerns that the downturn reflects not only a cyclical slowdown but also a structural shift driven by AI.
Entry-level hiring has weakened, while routine junior tasks — such as basic coding, data research and drafting — are increasingly being automated.
A Bank of Korea report released in October last year found that youth employment declined across key industries in the three years following the launch of ChatGPT (July 2022 to July 2025).
Jobs for those aged 15 to 29 fell by 11.2 percent in computer programming and system integration, 20.4 percent in publishing, 8.8 percent in professional services, and 23.8 percent in information services, underscoring growing exposure to AI-driven disruption.
By industry, weakness persisted in manufacturing and construction.
Employment in the wholesale and retail trade sector fell by 18,000 (0.6 percent), marking the first decline in 11 months since April last year, while accommodation and food services shed 2,000 jobs (0.1 percent), extending declines to a fifth consecutive month.
Manufacturing employment also dropped by 42,000 (1.0 percent), extending its downturn to 21 consecutive months, while construction lost 16,000 jobs (0.8 percent), marking a 23rd straight month of decline.
In contrast, gains were driven by the services sector, with employment rising by 294,000 (9.4 percent) in health and social welfare services, 75,000 (4.5 percent) in transportation and storage, and 44,000 (8.4 percent) in arts, sports and leisure-related services.
Meanwhile, the number of people who reported they were simply “taking a break” — not seeking work despite being capable — increased, particularly among older age groups. Those aged 60 and above who were resting rose 8.6 percent from a year earlier.
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