Eight out of 10 companies in South Korea that undertook recruitment drives this year have failed to meet their initial staffing targets. (Image courtesy of Yonhap)
SEOUL, Dec. 22 (Korea Bizwire) – A recent study has revealed that eight out of 10 companies in South Korea that undertook recruitment drives this year have failed to meet their initial staffing targets, highlighting the growing challenges in the hiring landscape.
According to a survey conducted by Saramin HR Research Institute on December 21, involving 317 companies, 80.4% of the 291 firms that attempted to recruit new employees this year fell short of their hiring goals. Notably, 26.8% of these companies managed to fill less than half of their planned positions.
The struggle to meet recruitment targets varied across different types of companies. Among them, large corporations reported the highest shortfall, with 30.8% filling less than half of their intended positions.
The primary reasons cited for not achieving recruitment goals included a lack of suitable candidates among applicants (51.7%), overall applicant shortage (15.4%), market uncertainties leading to hiring freezes (13.2%), and constraints related to recruitment budgets and labor costs (10.7%).
Looking ahead to next year’s recruitment, 43.2% of companies expect hiring numbers to remain similar to this year. Those anticipating a decrease in hiring stand at 34.1%, higher than the 22.7% who foresee an increase.
The survey also revealed a trend towards favoring candidates with less experience. For the upcoming year, the majority of companies (37.9%) are prioritizing candidates with 1 to 5 years of experience, followed by those with 5 to 10 years (28.4%), entry-level candidates (25.2%), and those with over 10 years of experience (3.8%).
Compared to last year’s figures, there has been a notable increase in preference for entry-level and less experienced candidates, while interest in those with 5 to 10 years of experience has significantly decreased.
The most important evaluation criteria for hiring next year were identified as practical and project experience (42.3%), followed by organizational fit (24%), competency and potential (15.8%), and relevant work experience (9.8%).
Choi Seung-cheol, director of Saramin HR Research Institute, commented, “Companies are expanding their focus to include entry-level and less experienced candidates as part of cost control measures.
By broadening the talent pool and focusing on training and enhancing positive employee experiences for these candidates, companies can fill their talent gaps and, in the long term, significantly boost their competitive edge.”
Kevin Lee (kevinlee@koreabizwire.com)
