Survey of Top 1000 Companies by HanKyung Business Association
Concerns about Labor Shortage and Domestic Market Collapse
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, ‘ According to a survey conducted by the Korea Economic Association (HanKyungHyup) on the perception of low birth rates and aging among the top 1000 companies based on sales revenue, 7 out of 10 domestic companies predicted that an economic crisis would arise in about 10 years due to low birth rates and aging. The most concerning issue was cited as a shortage of labor supply.’,
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A meeting of the Low Birth Rate and Aging Society Committee at Seoul City Hall in Jongno-gu, Seoul on the 10th. / News1,
, ‘ According to the survey, 68.3% of the respondent companies indicated that there is a possibility of a rapid onset of economic crises such as labor shortages and the collapse of the domestic market due to the rapid progression of low birth rates and aging.’,
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, ‘Companies predicted that if the current pace of low birth rates and aging continues, an economic crisis will occur within an average of 11 years. Companies indicated their predictions in different time frames: 6-10 years (42.7%), 11-15 years (25.6%), 16-20 years (13.4%), and 1-5 years (12.2%).’,
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, ‘When asked about the most concerning issues, nearly half, 45.8%, cited ‘difficulty in securing sufficient labor supply’. This was followed by a decrease in sales due to declining market demand (19.2%), deterioration of labor productivity due to an aging workforce (17.5%), and difficulties in adapting business structures due to rapid changes in population structure and market changes (15.0%).’,
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Responses on the negative impact of low birth rate and aging on companies and the expected timing for the intensification of labor shortage issues. / Provided by the Korea Economic Association,
, ‘ Companies expected that the issue of labor shortage due to low birth rates and aging would have a significant impact on the industrial field within an average of 9 years. Responses by time frame showed that 5-10 years (44.2%) was the most common, followed by 10-15 years (24.2%), 3-5 years (9.2%), and currently having an impact (7.5%).’,
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, ‘Companies identified the most urgent government policy for addressing labor shortage issues as creating an environment for utilizing elderly workers through restructuring wages and systems (35.0%). This was followed by expanding re-education for elderly workers and increasing job opportunities for the elderly (29.2%), and promoting women’s participation in the labor market through flexible working hours and alleviation of childcare burdens (24.2%).’,
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, ‘In order to fundamentally address the issues of low birth rates and aging, the widespread implementation of work-life balance policies is necessary, but it is not easily utilized in actual industrial settings. 44.2% of companies reported that work-life balance policies such as childcare leave are well implemented within the company. However, 1 out of 5 companies (22.5%) stated that work-life balance policies are not well utilized within the company.’,
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, ‘An official from HanKyungHyup stated, “In order for work-life balance policies to spread, it is important to create a favorable environment for companies by introducing policies that ease childcare burdens along with flexible working hour systems and alleviation of tax burdens to generate quality jobs” and added, “Policy support for improving production and logistics efficiency and enhancing corporate productivity is also necessary.”‘,
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