Seoul Metropolitan Government Boosts Employee Perks to Retain Young Talent | Be Korea-savvy

Seoul Metropolitan Government Boosts Employee Perks to Retain Young Talent


View of Seoul City Hall (Image provided by the Seoul Metropolitan Government)

View of Seoul City Hall (Image provided by the Seoul Metropolitan Government)

SEOUL, Feb. 11 (Korea Bizwire) –In response to a noticeable disinterest in public sector jobs among younger South Koreans, commonly referred to as the MZ generation, the Seoul Metropolitan Government has unveiled plans to enhance welfare benefits to prevent early-career civil servant turnover and attract talented individuals.

The initiative aims to create an environment where employees can focus on their duties by providing support for housing and economic stability, along with expanding tailored leisure support to foster a vibrant organizational culture.

On February 9, the city announced the “2024 Seoul Metropolitan Government Civil Servants Welfare Basic Plan,” which includes these measures.

Recent data shows a decline in the competition ratio for civil service exams in Seoul, with the ratio for grade 7 positions dropping from 75:1 in 2019 to 53:1 last year, and for grade 9 positions from 18:1 to 12:1.

This trend is not unique to Seoul; nationwide, the younger population shows a growing preference for employment in large corporations and public enterprises over national institutions, a reversal from the order seen in 2017.

The initiative aims to create an environment where employees can focus on their duties by providing support for housing and economic stability, along with expanding tailored leisure support to foster a vibrant organizational culture. (Image courtesy of Yonhap)

The initiative aims to create an environment where employees can focus on their duties by providing support for housing and economic stability, along with expanding tailored leisure support to foster a vibrant organizational culture. (Image courtesy of Yonhap)

Factors such as lower salaries compared to the private sector, high work intensity, difficult public interactions, and uncertainties regarding public pensions are believed to contribute to the declining interest in public sector jobs.

However, within the organizational structure, the MZ generation is becoming the dominant demographic, with their representation in the city government and affiliated organizations jumping from 28.4% in 2019 to 46.6% last year.

To boost morale and job satisfaction among MZ generation employees, the city is focusing on personnel innovation, enhancing communication, and improving organizational culture.

To address the imbalance between work intensity and compensation, the city has proposed improvements to the central government’s salary and allowance system and has enhanced its own tailored welfare support.

A welfare satisfaction survey conducted last December among 3,400 employees revealed an overall satisfaction score of only 73.8 out of 100. Employees indicated a need for improvement in areas such as recreational facilities, housing support, and an expansion of the elective welfare system.

To address the imbalance between work intensity and compensation, the city has proposed improvements to the central government's salary and allowance system and has enhanced its own tailored welfare support. (Image courtesy of Pixabay)

To address the imbalance between work intensity and compensation, the city has proposed improvements to the central government’s salary and allowance system and has enhanced its own tailored welfare support. (Image courtesy of Pixabay)

In response, the city has introduced a new support system for non-homeowning civil servants, offering interest support on lease deposits of up to 100 million won per person at a maximum rate of 3% annually.

The support targets leases in Seoul, Gyeonggi, and Incheon with security deposits up to 560 million won, covering up to 50% of the lease deposit, with a maximum loan of 100 million won for interest support.

This measure aims to alleviate the housing cost burden on employees exacerbated by soaring real estate prices and interest rates in the capital region.

Additionally, the eligibility criteria for non-homeowning civil servants’ rental assistance have been relaxed, and various programs have been implemented, including expanded operation of training centers, increased support for employees with multiple children, enhanced mental health screenings, and expanded vaccination support for employees.

A city official stated, “For civil servants to work happily, the quality of administrative services for citizens must also improve. We will continue to strive for the welfare improvement of our employees.”
M. H. Lee (mhlee@koreabizwire.com)

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