South Korea’s gig economy workforce, comprising delivery riders, designated drivers, and other platform-based workers, reached approximately 883,000 in 2023. (Image courtesy of Yonhap)
SEOUL, Aug. 6 (Korea Bizwire) – South Korea’s gig economy workforce, comprising delivery riders, designated drivers, and other platform-based workers, reached approximately 883,000 in 2023, according to a new government study released on August 5.
The Ministry of Employment and Labor and the Korea Employment Information Service conducted the 2023 Platform Worker Survey based on a sample of 50,000 individuals aged 15-69 across the country.
The results show a significant 11.1% increase from the previous year’s 795,000 workers, continuing an upward trend from 661,000 in 2021.
Platform workers are defined as those who receive work assignments and generate income through online platforms such as smartphone apps or websites.
The growth in this sector is attributed to technological advancements, an increase in available platforms, and a rising preference for more flexible work arrangements.
The survey revealed that the primary motivations for entering platform work were “higher income” (36.1%), “ability to choose working hours and dates” (20.9%), “dissatisfaction with traditional workplace environments” (10.2%), and “to balance work with household duties, studies, or childcare” (7.5%).
By occupation, the largest category was “delivery and driving” with 485,000 workers, followed by “professional services” such as education and counseling (144,000), “simple computer tasks” like data entry (87,000), “household chores and caregiving” (52,000), “creative activities” including design (50,000), and “IT services” (41,000).
The end of the COVID-19 pandemic led to a 5.5% decrease in delivery and driving workers compared to the previous year. Despite increased demand, the household chores and caregiving sector also saw a 1.9% decline. Other sectors experienced double-digit growth.
While men still dominate the gig economy, the proportion of women increased from 25.8% to 29.6%. Age-wise, 30-somethings made up the largest group at 28.7%, followed by those in their 40s (26.9%), 50s (20.2%), and 20s (13.8%).
Of the total platform workers, 55.6% were classified as “main job” workers, earning more than 50% of their income or working over 20 hours per week through platforms. “Side job” workers (21.8%) earned 25-50% of their income or worked 10-20 hours weekly, while “occasional participants” (22.6%) earned less than 25% or worked under 10 hours per week.
On average, platform workers in 2023 worked 14.4 days per month for 6.2 hours a day, earning 1,452,000 won monthly. This represents a slight decrease in both working hours and monthly income compared to 2022, likely due to an increase in occasional workers.
Workers reported challenges such as “demands for tasks not in the contract” (12.2%), “health and safety risks” (11.9%), and “unilateral contract changes” (10.5%). Other issues included lack of recognition for work experience (9.7%) and delayed payments (9.5%).
Kwon Chang-jun, the Labor Reform Policy Officer at the Ministry of Labor, stated, “While we expect the number of platform workers to continue growing, they still face many difficulties, including unfair treatment.”
He added that the ministry plans to actively pursue the enactment of a law to support vulnerable workers, establish standard contracts, set up rest areas, and provide dispute resolution support.
M. H. Lee (mhlee@koreabizwire.com)
