Gov't unveils measures to counter S. Korea's unemployment crisis
Arirang News
2018-03-16
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Turning now to the government efforts to counter South Korea's chronic youth unemployment.
The new measures announced on Thursday include loans and tax benefits.
Kim Mok-yeon has the details.
Among the set of measures unveiled on March 15 to tackle unemployment, the big announcement was that the government decided to draw up a supplementary budget once again this year, which they hope to hand over to the parliament by April.
This marks the second time the government has decided to use an extra budget to try to solve the nation's chronic problem of unemployment.
But, according to President Moon, the supplementary budget will just be a temporary measure to revitalize the labor market, adding that it will be used alongside other measures aimed at solving the fundamental causes of the problem.
With the majority of jobseekers in Korea hoping to start their careers in large companies, the government seems to have focused on boosting support for small and mid-sized firms.
The measures mainly center around three principles-- providing practical support to young jobseekers, boosting demand for jobseekers in the private sector, and providing temporary financial support.
The goal of these measures is to bring down the nation's unemployment rate to below 8 percent within 3 years.
The measures include providing up to 8,400 U.S. dollars as financial support for every new regular employee hired by small firms for three years, and exempting firms from paying income tax for five years… in an attempt to narrow the wage discrepancy between large and small firms.
Employees will also be eligible for low-cost loans for 4 years to help them cover residential fees, and some workers at companies located in industrial complexes will receive a transportation allowance of around 94 U.S. dollars.
The government also seeks to increase support for startup companies, by exempting them from paying corporate and income taxes for five years, as well as expanding their opportunities to receive various types of funds from both small and large companies.
Regarding large firms, the government decided to extend their tax reduction period for every new young person employed, and provide a larger benefit for projects aimed at creating jobs.
They also announced that the public sector will hire 28,000 employees by the end of this year, which is up 5,000 from its initial plan.
Kim Mok-yeon, Arirang News.
The new measures announced on Thursday include loans and tax benefits.
Kim Mok-yeon has the details.
Among the set of measures unveiled on March 15 to tackle unemployment, the big announcement was that the government decided to draw up a supplementary budget once again this year, which they hope to hand over to the parliament by April.
This marks the second time the government has decided to use an extra budget to try to solve the nation's chronic problem of unemployment.
But, according to President Moon, the supplementary budget will just be a temporary measure to revitalize the labor market, adding that it will be used alongside other measures aimed at solving the fundamental causes of the problem.
With the majority of jobseekers in Korea hoping to start their careers in large companies, the government seems to have focused on boosting support for small and mid-sized firms.
The measures mainly center around three principles-- providing practical support to young jobseekers, boosting demand for jobseekers in the private sector, and providing temporary financial support.
The goal of these measures is to bring down the nation's unemployment rate to below 8 percent within 3 years.
The measures include providing up to 8,400 U.S. dollars as financial support for every new regular employee hired by small firms for three years, and exempting firms from paying income tax for five years… in an attempt to narrow the wage discrepancy between large and small firms.
Employees will also be eligible for low-cost loans for 4 years to help them cover residential fees, and some workers at companies located in industrial complexes will receive a transportation allowance of around 94 U.S. dollars.
The government also seeks to increase support for startup companies, by exempting them from paying corporate and income taxes for five years, as well as expanding their opportunities to receive various types of funds from both small and large companies.
Regarding large firms, the government decided to extend their tax reduction period for every new young person employed, and provide a larger benefit for projects aimed at creating jobs.
They also announced that the public sector will hire 28,000 employees by the end of this year, which is up 5,000 from its initial plan.
Kim Mok-yeon, Arirang News.
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