Youth Jobs Decrease by 285,000, Concentrated in AI-Exposed Industries
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Since the second half of 2022, the decline in youth jobs has primarily occurred in industries heavily exposed to artificial intelligence (AI). According to a report by the Bank of Korea, from June 2022 to June 2026, the number of jobs for young people aged 15 to 29 decreased by 285,000, with 94% of this decline, or 268,000 jobs, occurring in AI-exposed industries. These industries include information services, publishing, computer programming, and professional services. The employment downturn in AI-exposed industries was less pronounced for those in their 30s and 40s, while employment for those in their 50s actually increased. By education level, the average unemployment rate for college graduates in the youth demographic was 7.0%, exceeding the 5.4% rate for those with less than a college degree. The report warned that AI is first applied to cognitive tasks performed by highly educated workers, and that if companies reduce entry-level administrative and analytical tasks, it could have a greater impact on college-educated youth. The Bank of Korea analyzed that the contraction in youth employment should not be solely attributed to AI, as adjustments in employment by industry and a focus on hiring experienced workers post-pandemic may also play significant roles. It emphasized the need for a redesign of vocational training and a shift in youth employment support policies.
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