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A reduction in unemployment benefits and direct jobs… A fundamental change in jobs policy

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The government has decided to change its jobs policy to reduce financial support such as unemployment benefits and promote the employment of jobseekers through job training and employment services.

The Ministry of Employment and Labor announced the ‘5th Employment Policy Basic Plan’ at a cabinet meeting chaired by Prime Minister Han Deok-soo today (30).

The 5th Basic Plan for Employment Policy is divided into five main areas, It sets the vulnerable class in terms of employment, such as youth and women, as key policy targets, and establishes a response system for the future such as business and demographic transformation.

In addition, in solving the labor supply and demand mismatch, establishing an employment safety net that promotes service-oriented participation in the labor market instead of cash support, and strengthening public-private partnership labor market policies instead provide jobs directly.

A reduction in unemployment benefits and direct jobs... A fundamental change in jobs policy

Cabinet meeting chaired by Prime Minister Han Duck-soo

The Ministry of Labor said, “Until now, our jobs policy has been to avoid crises with short-term, temporary measures such as cash assistance and direct job expansion.” There was,” he explained the background to the policy change.

The Ministry of Labor has found that the original job promotion function of the employment service has weakened as it has focused on financial support over the last few years in the face of the Corona 19 crisis.

Therefore, in order to improve the number of repeated recipients of unemployment benefit and the reliance on them, measures are taken to reduce the amount of unemployment benefit and extend the waiting period.

We also provide job seekers with tailored re-employment services and support their job search activities.

The Ministry of Labor has decided to draw up additional system improvement measures to increase the willingness of unemployment benefit recipients to work within the first half of this year.

In addition, projects with similar or overlapping direct jobs will be merged and dissolved, and support to promote job mobility will be mandated for those involved in repeated direct jobs turn

The target is 48,000 people who participated directly in the 14 projects.

The Ministry of Labor has decided to evaluate government-funded job creation projects and terminate the project if the subsidy is reduced three times.

We intend to turn the employment insurance financial balance into a surplus this year by reducing the number of employment incentive projects from 17 to 5 and improving the business employment insurance system.