South Korea’s youth employment situation is rapidly deteriorating, with the number of employed individuals in their late 20s reaching a nine-year low. The trend reflects broader concerns about a slowing economy and evolving hiring practices.
According to data released on March 22, 2026, the number of employed individuals aged 25 to 29 fell to 2.346 million in February, a decrease of 62,000 compared to the same period last year. This marks the lowest figure for February since 2017, when 2.245 million people in that age group were employed.
The employment rate for this demographic likewise experienced a decline, falling to 70.4% last month – a 0.5 percentage point decrease and the lowest rate in four years. This data underscores the increasing challenges faced by young adults entering the workforce in South Korea.
Job losses were particularly pronounced in sectors favored by younger workers, including information and communication, as well as professional, scientific, and technical services. Employment in the information and communication sector decreased by 52,000 year-over-year, representing the largest drop since 2014. The professional, scientific, and technical services sector saw a decrease of 29,000, also the largest decline since 2014.
Analysts suggest that structural changes, particularly the increasing influence of artificial intelligence (AI), may be contributing to the difficulties faced by young job seekers. The adoption of AI technologies could be leading to a contraction in entry-level positions within professional fields like accounting and law.
Shifting corporate hiring practices are also playing a role. Companies are increasingly prioritizing experienced candidates who can immediately contribute, leading to a reduction in new graduate hiring. This trend is delaying the entry of young people into the labor market and exacerbating the employment challenges they face. The situation highlights a growing disconnect between the skills of recent graduates and the demands of the current job market.
The data released on March 22, 2026, by the National Statistics Office (KOSIS) and employment trends, paints a concerning picture for the future of youth employment in South Korea. The Chosun Ilbo reported on the concerning trend.