Employed Person
Overview
An employed person is statistically defined as someone who has worked for at least one hour for income during a given reference period (usually one week), or who has a job but is temporarily absent from work. This concept excludes the unemployed from the economically active population and is a core indicator for gauging a country's labor market conditions and economic growth level. Changes in the number of employed persons, along with the employment rate and unemployment rate, serve as important reference data for government economic policy formulation and corporate investment decisions.
Main Content
Definition and Classification of Employed Persons
According to the International Labour Organization (ILO) standards, an employed person is defined as 'a person aged 15 or older who worked for at least one hour for income during the survey reference week.' This includes wage workers, self-employed individuals, and unpaid family workers. Statistics Korea further classifies employed persons by employment status into regular workers, temporary workers, daily workers, self-employed individuals, and unpaid family workers. Regular workers have employment contracts lasting one year or more and earn stable income, while temporary and daily workers have shorter employment periods and greater income volatility. Self-employed individuals are divided into employers and own-account workers, and unpaid family workers refer to those who work in family businesses without pay.
Measurement Methods for the Number of Employed Persons
The number of employed persons is compiled monthly through the Economically Active Population Survey. Statistics Korea selects a sample of approximately 33,000 households nationwide and collects data through face-to-face interviews. Survey items include employment status, industry, occupation, employment status, and working hours. Seasonally adjusted figures, which remove seasonal factors, are more useful for analyzing economic trends. Additionally, the number of employed persons is published broken down by industry (manufacturing, services, construction, etc.), age group (youth, middle-aged, elderly), gender, and educational attainment.
Economic Significance of the Number of Employed Persons
An increase in the number of employed persons generally leads to economic growth and increased consumption, but qualitative aspects are also important. For example, an increase centered on temporary or low-wage jobs may indicate a decline in employment quality. The number of employed persons and the unemployment rate have an inverse relationship, but interpretation changes if the economically active population itself changes. For instance, if the economically inactive population (discouraged workers, homemakers, students, etc.) re-enters the labor market, the unemployment rate may rise even as the number of employed persons increases. Therefore, it is common to analyze the number of employed persons together with the employment rate (the ratio of employed persons to the population aged 15–64) rather than assessing the labor market solely by the number of employed persons.
Factors Influencing the Number of Employed Persons
The number of employed persons is influenced by various factors such as economic cycles, technological changes, government policies, and demographic structure. During economic booms, corporate hiring increases, raising the number of employed persons, while it decreases during recessions. Automation and digital transformation driven by the Fourth Industrial Revolution have caused structural changes, reducing manufacturing jobs and increasing IT and service sector jobs. Government fiscal policies (e.g., expansion of public jobs, tax incentives) and monetary policies (interest rate cuts) also affect the number of employed persons in the short term. Population aging reduces the working-age population itself, constraining growth in the number of employed persons.
Limitations of the Number of Employed Persons and Complementary Indicators
The number of employed persons only reflects the quantitative aspect of employment, so qualitative aspects (wages, working conditions, job stability) need to be supplemented. For this purpose, average working hours, wage levels, employment insurance coverage rates, and the proportion of non-regular workers are analyzed together. Additionally, the NEET (Not in Education, Employment, or Training) rate among youth or the number of long-term unemployed reveals employment issues not captured by the number of employed persons alone. When making international comparisons, differences in each country's definition of employed persons and survey methods must be considered.
Recent Trends
In 2024–2025, the number of employed persons in South Korea showed a recovery trend after the COVID-19 pandemic, but it is characterized by an increase centered on the elderly and sluggish youth employment. The annual number of employed persons in 2024 increased by about 300,000 compared to the previous year, but those aged 60 and older accounted for most of the increase. Manufacturing employment rose slightly due to strong performance in the semiconductor and automobile sectors, while construction and wholesale/retail trade struggled. Entering 2025, structural transformation is accelerating, with office jobs declining due to the spread of AI and automation technologies, and new jobs being created in healthcare and green energy sectors. The government is making efforts to maintain the number of employed persons through measures such as the 'Job Stability Fund' and 'Youth Job Leap Incentive,' but the decline in the working-age population due to low birth rates and aging remains a long-term challenge.
Related Topics
- [[Unemployed Person]]
- [[Economically Active Population]]
- [[Employment Rate]]
- [[Labor Market]]
- [[Non-regular Worker]]