Job Market Contraction
The Federation of Korean Industries (FKI) announced on March 16 that the 30 non-financial conglomerates (business groups) in Korea with the largest amount of assets are expected to hire 121,801 job seekers this year, 6.3 percent down from the 129,989 of last year. The decrement amounted to 10.0 percent between 2013 and 2014, too.
Only seven out of the 30 will increase the number of new employees, whereas 19 will not. Nevertheless, the total number of those working for the 30 groups is estimated to increase 1.1 percent from a year ago, as more of them are looking to maintain their jobs for as long as possible.
Among the top 10, the Hyundai Motor Group is the only one that is planning on an increase in employment.
In contrast, the 30 groups are predicted to be very aggressive this year when it comes to investment. Their combined annual investment is estimated at 136.4 trillion won (US$121.1 billion), 16.5 percent up from the previous year. Only 11 and two are planning to cut back on and maintain their investment, respectively.