|Statistics of the New Recruitment Rate (sedaily.com)|
Most companies have reduced the number of recruits and postponed hiring in the aftermath of the coronavirus disease 2019 (COVID-19), so the number of employees with recruitment plans reached the lowest since the 2008 financial crisis. The 2008 financial crisis was a severe global economic disaster triggered by the collapse of the housing market in the United States (US) that led to threatening the international financial system such as commercial banks and mortgage lenders. Similar to this crisis, the current economy and job market are very unstable. According to the Labor Force Survey in the first half of 2020, announced by the Ministry of Employment and Labor (MOEL) on August 31st, companies will hire only 238,000 employees in the second and third quarters. The number of recruits is 13,000 (5.1%) less than the corresponding month last year, and it reached its lowest since the financial crisis, which declined to 208,000. Also, the July Labor Force Survey noted that the number of employees engaged in business with one or more members was 18.446 million in total, a decrease of 0.7% compared to the same month of the last year. The MOEL explained that the rapid spread of COVID-19, resulting in a decrease in tourists and closure of hagwons (private learning centers), caused this crisis. Moreover, as 74.2% of major companies replied that they do not have any hiring plans in the second half of the year in the survey conducted by the Korea Economic Research Institute (KERI), the job market is expected to be worse in the latter half than the first half of the year.