S Korea's job market continues to falter
South Korea's labor market continued to falter last month as manufacturers, which supply decent jobs, refrained from hiring new employees, a government report showed Wednesday. The number of those employed came in at 26,868,000 in April, up 123,000 from a year earlier, according to Statistics Korea.
The year-over-year growth hovered below 200,000 for three months from February, after posting a 334,000 increase in January. It marked the first time since the 2008 global financial crisis that the country's job growth stayed below 200,000 for three months in a row.
Manufacturers cut jobs on economic uncertainties such as reluctance among consumers to buy goods and services and the expected rate increase in the United States, which would lead to higher borrowing costs here. South Korean households struggled to repay debts, owed to financial institutions to purchase new home.
It shrank private consumption, resulting in weaker corporate investment and lower recruitment. Major domestic shipbuilders have been under restructuring for loss-making businesses amid the soft global demand for new ships.
The ongoing restructuring process caused job cuts and reduced facilities in the sector. Job creation among manufacturers fell 68,000 in April from a year earlier, ending the 10-month growth to March.
The number of jobs in the wholesale and retail industry declined 61,000, while the figures in the lodging and food sector and the education service industry slumped 28,000 and 106,000, respectively, in April.
The figures in the health, social welfare and public administration sectors increased last month, but job growth in the construction industry slowed down. The number of those unem