ICS

Job Environment in SOUTH KOREA

South korea's population is rapidly declining due to the rapid aging of its population and the world's lowest birthrate. Recently, some industries such as construction and IT industries are suffering from severe labor shortages due to the lack of manpower due to the economic recovery.

Unlike the high level of globalization in terms of trade and investment, the lack of global talent to support it is highlighted as a real problem, which has led to a sharp increase in companies recognizing securing global talent as an urgent management task. As a result, the number of foreign workers in Japan rose 18 percent on-year to 1.28 million in October 2017, renewing the highest level in the past.

Among the reasons for the increase in the number of foreign workers are the increase of "exercise activities" by students studying abroad, the increase of foreign workers with "professional and technical" qualifications, and the steady increase in the government's acceptance of high-quality foreign goods. Also, as the employment situation improves, there is an increasing number of foreign workers with no restrictions on their tastes, such as "permanent workers" and "Japanese spouses."

IT field	According to the report, 84 percent of Japanese IT companies are feeling a shortage of talent due to the increasing demand for software and app development due to the expansion of web business, the introduction of "My Number" system similar to Korea's resident registration number, and the hosting of the 2020 Tokyo Olympics (2020)" (Economic Industry and Information Processing Promotion Organization, IPA, January-March 2015 survey). Also, according to a June 2016 report by the Ministry of Economy, Industry and Energy, the IT workforce was estimated at about 900,000 and the shortage at about 170,000 as of 2015. The manpower supply is expected to decrease at the peak of 2019 in the future, and the shortage is expected to expand (up-to-date data based on the July 2018 confirmation). Although overall IT fields such as programmers, system engineers (SE), network engineers, and web engineers are promising, demands for high-tech IT and information security talent such as AI, IoT, and big data are expected to increase. The Ministry of Economy, Industry and Energy is using various policies and operating programs to address the shortage of IT talent, while the Information Processing Promotion Agency (IPA) published a handbook in 2015 titled "A Process on Employment in Japan by Foreign IT Engineers." Meanwhile, according to the report by the Ministry of Health, Labor and Welfare, the number of foreigners working for Japanese IT firms reached 52,038 as of October 2017, up 18.9 percent from 43,758 in the previous year and a sharp rise similar to the 18.8 percent gain in the previous year.
manufacturing (transfer and other machinery) sector	As the generation that has built and developed Japan's manufacturing base is nearing retirement age, demand for talented engineers (technical workers) is expected to increase. In addition, the demand for global talent who speaks foreign languages to find and communicate overseas suppliers and for managerial positions dispatched to foreign countries due to the increasing transfer of production hubs to emerging countries is also increasing.
The service sector (hotel)	Due to the low yen caused by Abenomics, the number of tourists visiting Japan surged until 2016, with demand for foreign job openings in the lodging industry rising. Related industries prefer global talent who can speak multiple languages, and it is expected that this phenomenon will continue until the 2020 Tokyo Olympics/Farall Games.
Construction (Collaboration Supervision) Sector	While the construction industry is booming due to the repair of old infrastructure and urban readjustment projects to mark the 2020 Tokyo Olympics, the shortage of talent in the industry as a whole, ranging from construction supervision to building management and sales, is deepening. Demand for foreign goods with a high level of Japanese speaking and available on-site work in various regions is growing rapidly.
business (trade) field	With the diversification of customers in line with the diversification of consumer demand, there is a growing tendency to favor global talent with language skills that can communicate with the rest of the world.