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Korea Herald
30-06-2025
- Business
- Korea Herald
Pay, work hours most important to middle-aged Koreans looking for new job
Over 40% of women say child care and household chores forced them out of work The number one factor for middle-aged Koreans seeking a new job is pay for men, and work hours for women, a survey showed Monday. In a poll of 500 job seekers in their 40s and 50s conducted by the Federation of Korean Industries, 33.7 percent of the 245 male respondents gave the highest consideration to pay when looking for a new job. This was followed by work hours at 28 percent, then the type of employment — such as permanent versus contract positions — at 15.3 percent, and task difficulty at 6.6 percent. Female respondents, on the other hand, valued work hours far more than any other factor, chosen by 49.6 percent. Another 20.5 percent of women said pay was most important, followed by difficulty of the work (11 percent) and type of employment (9.7 percent). Women's emphasis on work hours was closely tied to why they left previous jobs, as 43.2 percent said they had to resign due to child-rearing or household responsibilities. Of the female respondents who had not looked for a job for at least a year, 38.7 percent cited the same two reasons. "Most women have the role of primary caretaker of their family and home (along with work), and thus tend to value flexible work hours," the FKI said. Contrary to women, the top reason for male respondents leaving their previous work was that they were asked to by their employers (22.5 percent). Topping the list of government policies the respondents wished to see was flexible work hours and a greater availability of jobs with shorter hours, cited by 22.2 percent. Close behind, at 22.0 percent, was more governmental support for job training and overall assistance for career changes among middle-aged workers. The survey showed that middle-aged Korean job seekers on average seek an annual salary of 41.49 million won ($30,588), which is about 75 percent of the income they received at their previous jobs. They also sought to work until the age of 65.6 on average, which is higher than the legal retirement age of 60. The legal retirement age does not restrict work, but the conditions of an employment contract cannot be guaranteed over the age of 60. As such, it is conventional for senior workers to agree to new terms with their employers if they wish to continue working. Extending the legal retirement age, which was implemented as a non-obligatory measure in 1991 and mandated in 2016, is an ongoing issue in Korea. With the life expectancy of both genders being above 80, many Koreans feel that 60 is too young to retire. An overwhelming majority (76.3 percent) of the middle-aged respondents in the FKI survey said they have not sufficiently prepared for their postretirement plans.


Korea Herald
25-06-2025
- Business
- Korea Herald
Business sentiment for July pessimistic over prolonged manufacturing slump: poll
South Korea's business sentiment remains pessimistic for July, a poll showed Wednesday, as a protracted downturn in manufacturing continues to weigh on corporate confidence. The business survey index of the country's top 600 companies by sales stood at 94.6 for next month, according to the monthly poll by the Federation of Korean Industries. A reading below 100 means pessimists outnumber optimists, while a figure above the benchmark means the opposite. The index has now remained below 100 for 40 consecutive months since April 2022. The BSI for manufacturing sectors stood at 86.1, compared with 103.4 for nonmanufacturing sectors. Manufacturing sentiment has stayed negative for 16 months, while the service sector index rebounded for the first time in seven months. Within manufacturing, only the food, beverage and tobacco sectors combined showed a positive outlook. Among nonmanufacturing sectors, lodging, dining, logistics and retail led the gains. "Service sector business confidence is showing signs of recovery due to expectations for fiscal stimulus and summer travel demand," an FKI official said. "But bolstering export competitiveness and the preemptive response to trade friction remain critical for the recovery of manufacturing industries." (Yonhap)


Korea Herald
12-06-2025
- Business
- Korea Herald
FKI bolsters US outreach for tariff talks
Since 2016, Korean firms have invested over $160 billion in US, supporting more than 830,000 American jobs The Federation of Korean Industries, the country's leading business lobby, stepped up its public diplomacy efforts in the US, highlighting Korean firms' substantial contribution to the US economy as Washington and Seoul prepare for a new round of negotiations over reciprocal tariffs. The FKI launched its latest outreach campaign at the 2025 Congressional Baseball Game in Washington on Wednesday, a century-old bipartisan charity event that drew 69 members of Congress, many from states that have attracted major Korean investment. As an official sponsor, the FKI aired a 15-second promotional video on the stadium's jumbotron, displayed banners, and distributed flyers and rally towels to showcase the contributions of Korean conglomerates to the US economy. The campaign stressed that since the start of the Trump administration in 2016, Korean companies have invested over $160 billion in the US, supporting more than 830,000 American jobs. Flyers distributed at the event noted that trade in goods between the two countries rose by 81 percent from 2011 to 2023 and that Korean companies offer the highest average annual salary — $106,000 — for American workers among Asian investors. FKI Chairman Ryu Jin, who also leads Poongsan Group, attended the event's reception, where he met with senators and House members from both parties. He emphasized Korea's leadership in strategic sectors such as shipbuilding and energy, and reaffirmed the country's status as an economic and security partner. 'Given the likely resumption of tariff talks under Korea's new government, we're stepping up efforts to build goodwill and remind lawmakers how crucial this partnership is,' said Kim Bong-man, head of the international affairs department at the FKI. Among the lawmakers attending the baseball game were members from investment-heavy states, including Texas, Georgia, Tennessee, Indiana and Michigan. Republican Senator Joni Ernst of Iowa and Democratic Representative Sharice Davids of Kansas were among the big-wig attendees. The campaign comes at a politically sensitive moment. In April, US President Donald Trump announced plans to impose reciprocal tariffs by country, with implementation initially set for April 9. The US administration postponed the move for 90 days to allow trade negotiations, creating a looming deadline of July 8. While Trump has indicated flexibility in extending the deadline on Wednesday, it remains unclear whether Korea, under newly inaugurated President Lee Jae-myung, can secure more time. Trade officials in Seoul are closely monitoring developments as talks intensify. A third round of technical consultations and a ministerial-level review are expected this month. Yeo Han-koo, newly appointed as Korea's Trade Minister and a senior fellow at the Peterson Institute for International Economics, is preparing to meet with US Trade Representative Jamieson Greer. This marks the first major US initiative by the FKI under Korea's new administration. The group also plans additional media and digital campaigns across the US and will co-host the 35th General Assembly of the US-Korea Business Council later this year in Korea, a tradition it has shared with the US Chamber of Commerce since 1988.


Korea Herald
12-06-2025
- Business
- Korea Herald
FKI promotes S. Korea's US investments at congressional charity baseball game in Washington
South Korea's Federation of Korean Industries said Thursday it has participated as a sponsor in an annual US congressional charity baseball event in Washington as part of efforts to promote Korean companies' investments in America. The FKI's sponsorship of the Congressional Baseball Game for Charity held Wednesday was aimed at fostering bilateral ties, as ongoing bilateral tariff negotiations are expected to accelerate amid the recent change in government in South Korea. During the event, the FKI aired promotional videos highlighting the achievements of Korean companies investing in the United States. The promotional content noted that since the first term of US President Donald Trump in 2016, Korean companies have invested over $160 billion in the US and created an estimated 830,000 jobs. FKI Chairman Ryu Jin attended the official reception for the event and emphasized Korea's investment contributions. He also promoted the country's competitiveness in promising sectors for bilateral cooperation, such as shipbuilding and energy. The federation said it plans to continue promoting Korean corporate activities in the US through local media and social media platforms. (Yonhap)


Korea Herald
27-05-2025
- Business
- Korea Herald
S. Korean exporters expect 4.9% drop in US sales amid tariff concerns: survey
South Korean exporters anticipate a nearly 5 percent drop in their shipments to the United States this year if Washington's current tariff policies continue, a business survey showed Monday. According to the poll commissioned by the Federation of Korean Industries and conducted by Mono Research, 150 export-oriented firms that offered responses among the country's top 1,000 companies by sales forecast an average 4.9 percent decrease in US export volumes in 2025. By sector, electrical and electronics companies expected the steepest decline of 8.3 percent, followed by automobiles and auto parts at 7.9 percent, petrochemicals and petroleum products at 7.2 percent, and general machinery at 6.4 percent. In contrast, shipbuilders and pharmaceutical companies project increases in US exports of 10 percent and 1.6 percent, respectively, despite ongoing tariff concerns. Of the respondents, 81.3 percent said they expect negative impacts from the tariff measures on the businesses of both countries. Another 14.7 percent said the impact would be negative for South Korean firms but beneficial to their American counterparts. In terms of government responses, 44.6 percent called for negotiations to minimize tariffs, while 13.6 percent urged support for diversifying export markets. Another 13.1 percent recommended expanding the list of duty-free items, and 9.4 percent suggested ensuring that South Korea receives tariff rates equal to those of its global competitors. "The government should closely monitor tariff-related developments, work to remove non-tariff barriers and develop negotiation strategies that minimize the impact on domestic exporters," a FKI official said. (Yonhap)