Hiring Increases as Unfilled Positions Drop Below 100,000 Amid Skilled Labor Shortage

As of this year’s first half, the demand for hiring among domestic companies has increased compared to last year, with actual hiring also on the rise. The number of unfilled positions has dropped below 100,000 for the first time since 2021. However, the shortage of skilled and qualified workers remains a significant challenge for employers.

According to the Ministry of Employment and Labor's '2026 First Half Business Workforce Survey' released on June 30, the number of job openings in the first quarter for businesses with at least one employee reached 1,464,000, an increase of 48,000 (3.4%) from the same period last year. Actual hiring rose to 1,368,000, up by 60,000 (4.6%).

With the expansion of job openings and increased hiring efforts, the number of unfilled positions decreased to 96,000, down by 13,000 (11.8%) from a year ago. This marks the first time unfilled positions have fallen below 100,000 since the scope of statistics was expanded in 2021. The unfilled position rate also dropped from 7.7% last year to 6.5% this year, the lowest level recorded during the same period.

Jung Hyang-sook, head of the Labor Market Research Division at the Ministry, explained, "An unfilled position rate of 6.5% means that for every 100 job openings, 6.5 positions were not filled. This is the lowest level since 2021."

By industry, the healthcare and social services sector saw the largest increase in job openings, with 26,000 more positions compared to last year. The construction industry followed with an increase of 12,000 openings, while the business facility management, support, and rental services sector added 6,000.

In contrast, the retail sector experienced the most significant decline, with 9,000 fewer job openings and 7,000 fewer hires. The Ministry attributed this decrease to recent economic conditions.

In terms of job categories, the food service industry had the highest number of job openings (171,000) and hires (164,000). The caregiving sector saw an increase of 23,000 job openings and 21,000 hires, marking the largest growth. Conversely, the sales and marketing sector experienced a decline of 18,000 job openings and 16,000 hires, representing the most significant drop.

Hiring demand has increased across all business sizes. For companies with fewer than 300 employees, job openings reached 1,246,000, and hires totaled 1,164,000, both up by 43,000 (3.6%) and 53,000 (4.8%), respectively, compared to last year. For companies with 300 or more employees, job openings rose to 217,000, an increase of 5,000 (2.3%), while hires grew to 204,000, up by 8,000 (3.8%).

However, labor shortages persist across various sectors. The industries with the highest number of unfilled positions are manufacturing, healthcare and social services, and retail. Notably, the unfilled position rate in manufacturing is 16.2%, indicating that more than 16 out of every 100 job openings remain unfilled. Specific manufacturing roles, such as metal materials installation, maintenance, and production, as well as chemical and environmental installation, maintenance, and production, also show high unfilled position rates.

The primary reason companies struggle to find workers is the lack of qualified candidates with the necessary experience. Among the reasons for unfilled positions, 25.8% cited the absence of applicants with required experience, followed by 18.5% for lacking necessary education or qualifications, and 18.1% for wages and working conditions not meeting job seekers' expectations.

As of April this year, the number of positions expected to be unfilled in the medium to long term stands at 467,000, maintaining a similar level to last year, although the labor shortage rate has slightly decreased to 2.4%. The hiring plan for the second and third quarters of this year is projected at 460,000, a decrease of 9,000 from the previous year.
The Ministry also released the results of the May business workforce survey. The findings indicate that while employment growth continues, the performance varies by industry.

As of the end of last month, the number of employees in businesses with at least one worker reached 20,701,000, an increase of 202,000 (1.0%) compared to the same period last year.

The healthcare and social services sector led the growth with an increase of 114,000 employees, followed by the financial and insurance sector with an increase of 33,000, and public administration, defense, and social security administration with an increase of 26,000.

Conversely, the retail sector saw a decrease of 26,000 employees, marking 26 consecutive months of decline, while the construction industry lost 3,000 employees, continuing a 23-month decline. The arts, sports, and leisure services sector also experienced a decrease of 8,000 employees.

As of April, the average monthly wage for employees in businesses with at least one regular worker was 4,031,000 won, an increase of 1.5% (61,000 won) from the previous year.