South Korea Jobless Rate Rises to 2.7% in Nov

South Korea’s seasonally adjusted unemployment rate declined to 3% in January 2026 from a downwardly revised 3.3% in December which was the highest in a year. The number of unemployed rose to 1.21 million, up 128,000 people, or 11.8%, from a year earlier, but slightly below December’s 1.22 million. The economy added 108,000 jobs in January, lifting total employment by 0.4% year-on-year to 27.99 million. This was the slowest pace of job growth in 13 months after employment contracted by 52,000 in December 2024, underscoring persistent weakness in manufacturing and construction. Youth unemployment fell for a 21st consecutive month, highlighting ongoing structural challenges in the labor market for younger workers. Meanwhile, the labor force participation rate edged up 0.2% year-on-year to 63.6% but eased from 64.1% in December, pointing to some softening in workforce engagement.

South Korea’s seasonally adjusted unemployment rate jumped to 4% in December 2025, extending its rise for a third straight month and reaching its highest level in nearly five years. Unemployment typically rises in December as cold weather and icy conditions slow outdoor work. Seasonal pauses in construction, agriculture, fisheries, and forestry, along with the end of government-funded job programs, also contribute. The number of unemployed people rose to 1.22 million, up 103,000 or 9.2% year-on-year. Despite the weaker labor backdrop, the economy added 168,000 jobs, a 0.6% increase from a year earlier, bringing total employment to 28.2 million. However, that figure fell sharply from 29.71 million in November, highlighting recent labor market softening. The labor force participation rate stood at 64.1%, up 0.2% from a year ago but down from 64.8% in the prior month, signaling reduced workforce engagement at year end.

South Korea’s seasonally adjusted unemployment rate rose to 2.7% in November 2025, marking a second straight monthly increase after readings of 2.5% in September and 2.6% in October. The number of unemployed reached 661 thousand, up 5 thousand or 0.7% year-on-year. Manufacturing and construction employment continued to weaken, while youth employment recorded its 19th consecutive month of on-year decline. Still, the economy added 225 thousand jobs in November, up 0.8% from a year earlier, lifting total employment to 29.706 million. The gain reflects a steady upward trend in job creation this year following a brief setback last December, when the country shed 52 thousand jobs. The labor force participation rate came in at 64.8%, up 0.2% from a year ago.