The expansion of the 60s age group is also leading to the increase in the jobless population. (image: Yonhap)
SEOUL, Oct. 24 (Korea Bizwire) — With the baby boom generation entering their 60s, many are reaching retirement age.
A recent study showed, however, that more baby boomers were either asked to resign, fired, or cut from their jobs due to company difficulties.
According to a report from the Korea Labor Institute (KLI) announced on Wednesday, those who retired after reaching the age limit maintained a proportion of 12.5 to 12.7 percent even after 2016 when the age limit became a legal obligation.
In contrast, those who lost their jobs due to voluntary resignation, dismissal, or companies that went out of business have risen sharply in proportion over the past few years.
In particular, the proportion of those who lost their jobs when their employer went out of business increased from 25 percent in 2016 to 30 percent this year, up by 5 percentage points over the past three years.
“The 60-year age limit for retirement became a legal obligation in 2016, but the proportion of workers retiring hasn’t really grown,” said Lim Yong-bin, a researcher at the KLI.
Many of those in their 60s are getting new jobs after retirement to continue to participate in economic activity.
The number of people in the early 60s age group getting new jobs increased by 154,000 people between May 2018 and May 2019. Among them, 143,000 people were former retirees.
The expansion of the 60s age group is also leading to the increase in the jobless population.
Among those in their early 60s without a job, 40 percent responded that they would continue to work for a living, regardless of their age.
In terms of monthly pay, people in the 60s age group used to prefer getting paid between 500,000 and 1.5 million won (US$427-$1,282). Now, more people are asking to be paid more than 1.5 million won.
“Those in their 60s are standing on the border between retirement and receiving a pension, and have the will to get a new job,” said Lim.
“However, due to the economic situation as well as industrial structure, it is becoming more difficult to help them get jobs.”
H. M. Kang (hmkang@koreabizwire.com)
