Youth weigh wages, job fit and commute when choosing employers; apartment subscription benefits, industrial complex transit subsidies sought

Firms struggle to recruit and retain specialists; AI spread raises fears of shrinking entry-level opportunities

Participants pose for a photo at the launch ceremony and first meeting of the Youth Employment Hope Committee held at the Economic, Social and Labor Council's main conference room in Jongno-gu, Seoul, on May 20. [Provided by the Economic, Social and Labor Council]
Participants pose for a photo at the launch ceremony and first meeting of the Youth Employment Hope Committee held at the Economic, Social and Labor Council's main conference room in Jongno-gu, Seoul, on May 20. [Provided by the Economic, Social and Labor Council]

"When I hear about the wages and bonuses at Samsung or SK hynix, I sometimes feel a sense of deprivation by comparison."

Young workers at small and medium-sized enterprises (SMEs) voiced frustration over the wage gap with large conglomerates and called for tangible support — including apartment subscription benefits, housing assistance and commuting subsidies. Companies, for their part, said it is increasingly difficult to find the specialized talent they need in regional areas, and that keeping young hires from leaving demands considerable time and money.

According to the Economic, Social and Labor Council (ESLC), the Youth Employment Hope Committee held its third youth roundtable on Wednesday at Ara, an SME located in the Pungse General Industrial Complex in Cheonan, South Chungcheong Province. Young SME workers and human resources managers attended to discuss the challenges of recruiting and retaining young employees and to explore ways to improve job quality.

Participants said they weigh wages, job and major compatibility, company size, and distance from home when choosing where to work. They acknowledged that working at an SME offers the chance to gain experience across a range of tasks and build a career, but identified the large wage gap with major corporations as a significant burden.

"Beyond wages, it would be great if practical benefits such as apartment subscription priority were expanded for young SME workers, so that working at a small company could also be seen as a path to securing housing," one participant said.

Poor public transit access at regional industrial complexes also emerged as a concern. Attendees called for the reinstatement of commuting subsidies for young workers at industrial complexes — a program that had been offered in the past.

Participants also said attitudes toward job-hopping need to change.

Young workers noted that moving from one SME to another in search of better opportunities and career development is not uncommon, and argued that changing jobs should not be viewed negatively. "I think experiencing different companies or industries can also help build your career," one young worker said.

HR managers described the difficulty of securing specialized talent and retaining staff after hiring.

They said it is hard to find applicants with the specific majors and expertise their companies require, and that being located outside major cities compounds the problem — leaving job postings with few takers. The time and cost of bringing new hires up to speed were also cited as burdens.

Participants noted that industry-academia programs linking universities with SMEs — such as the Industry Professional Practice program and contract-based academic departments — tend to be one-off initiatives with limited lasting impact. They argued that addressing the SME labor shortage requires examining structural issues as well, including the large-conglomerate-centered industrial structure and subcontracting relationships.

Concerns were also raised that the spread of AI could reduce entry-level job opportunities and limit career-building prospects for young workers. As AI takes over basic tasks previously handled by new employees, companies may grow even more inclined to favor experienced hires.

"It may be more efficient to hire experienced workers who can leverage AI than to bring in new graduates and train them from scratch," one HR manager said. "Particularly in office and administrative roles, I expect this shift to happen quickly."

Im Eun-ju, general affairs director at the Federation of Korean Trade Unions, called for improvements to transportation and housing conditions at industrial complexes and stronger ties with regional vocational high schools and universities to help young SME workers find jobs and stay in them longer. Im Yeong-ju, head of the workforce policy division at the Korea Federation of SMEs, urged expanded policy support to strengthen SME competitiveness and secure talent.

Yun Ja-yeong, a professor at Chungnam National University, said job changes among young workers should be understood as part of the career-building process. "To help SMEs attract and retain young workers, more targeted and effective support is needed — one that takes into account the location conditions of regional industrial complexes," she said.

The ESLC plans to use the opinions raised Wednesday in the committee's ongoing discussions on improving SME youth recruitment and job quality. The next roundtable is expected to gather input from young people in regional communities.


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