TAFEP Hero 2025 Aug
The economic toll of ‘resting’ South Korean youths: 44.5 trillion won

The economic toll of ‘resting’ South Korean youths: 44.5 trillion won

Notably, the number of highly educated youth who are ‘taking a break’ rose by 15.7% from 2019 to 2023.

The number of ‘resting’ young South Koreans – those in their 20s who neither work nor seek employment — is on the rise.

Alarmingly, this growing trend is estimated to have cost the economy 44.5tn won over the five-year period from 2019 to 2023, according to a new report by Professor Lee Mi-sook of the Changwon National University, commissioned by the Korea Economic Association.

The study found that the number of ‘resting’ youths in South Korea increased from 360,000 in 2019 to 401,000 in 2023, reaching an all-time high of 421,000 as of July 2025.

Notably, the number of highly educated youth – those with a college degree or higher – who are ‘taking a break’ rose by 15.7%, from approximately 133,000 in 2019 to 153,000 in 2023.

The report attributes this trend to the flexibility afforded to highly educated young people, who carefully decide on employment based on both economic and market conditions.

By comparing the average annual wages of employed youth with the expected earnings of their ‘resting’ counterparts, the study found that the latter could have earned 78.5% to 85.9% of what employed youth typically make over the past five years. While the expected income of 'resting' youth falls short of the average wage of employed youth, this still represents a significant economic opportunity cost.

“Young people who could earn that much income are incurring economic costs by being ‘resting’,” the report stated.

To address the issue, the report argued that early detection of youth 'restlessness' and a shift in social perception are key. It also urged efforts towards stimulating domestic demand, easing regulations, and enhancing corporate vitality to expand employment opportunities.

Follow us on Telegram and on Instagram @humanresourcesonline for all the latest HR and manpower news from around the region!

Free newsletter

Get the daily lowdown on Asia's top Human Resources stories.

We break down the big and messy topics of the day so you're updated on the most important developments in Asia's Human Resources development – for free.

subscribe now open in new window