University Graduation Takes Record 4 Years and 5 Months... Proportion of Unemployed Over One Year Reaches 17-Year High

250,000 Jobs Lost, University Graduation Duration Reaches Record High
More Young People 'Simply Rest' After Graduation, Long-term Unemployment Over One Year Worsens

In May of this year, the number of employed youths (ages 15–29) plummeted by over 250,000 compared to a year earlier, causing the employment rate to drop sharply by 2.4 percentage points. Notably, as job opportunities in fields favored by young people—such as IT, high-tech, and manufacturing—diminished, the average time it takes to graduate from college reached an all-time high of four years and 5.7 months. The proportion of long-term unemployed youths, defined as those who remain jobless for more than a year after graduating, soared to its highest level in 17 years, a peak not seen since the aftermath of the global financial crisis in 2009.

Supplementary Survey Results on Youth from the Economically Active Population Survey in May 2026. Ministry of Data and Statistics.

Employment Rate Drops 2.4 Percentage Points... "Job Cliff" for Both Early and Mid-20s

The Ministry of Data and Statistics announced these findings on July 23 in its "Results of the supplementary survey on youth from the 2026 May Economically Active Population Survey." The youth employment rate stood at 43.8%, falling by 2.4 percentage points from the same month last year. This exceeded the population decline in the youth demographic (down 152,000), as youth employment itself plunged by 255,000.

The declines in the economic activity participation rate (down 2.3 percentage points) and the employment rate (down 2.4 percentage points) were the largest recorded since the start of the supplementary survey time series in 2004. By age, those in the 20–24 group—typically recent college graduates and new entrants to society—were hit the hardest, with their employment rate dropping to 41.6%, a sharp decrease of 4.2 percentage points in just one year. The employment rate among those aged 25–29, who are generally of core working age, also fell by 1.3 percentage points to 71.4%. The youth unemployment rate rose by 0.6 percentage points to 7.2%.

What is even more concerning is that the job ecosystem preferred by young people is collapsing, resulting in delayed entry into the labor market. Looking at the industry distribution for those graduating from their final school, the number of youths employed in information and communications—a future growth driver and a sector strongly favored by young people—plummeted by 51,000 (down 1.3 percentage points) compared to the previous year. Employment also dropped significantly in professional, scientific and technical services (down 29,000), manufacturing (down 27,000), and health and social welfare (down 26,000).

Even when categorized by occupation, the number of managers and professionals—classified as high-skilled jobs—fell by 59,000 year-over-year, while office workers (down 30,000) and sales employees (down 34,000) also saw declines. As decent job openings for youth disappear across categories, many are being pushed out of the job market altogether. Rakhyun Kim, head of employment statistics at the Ministry of Data and Statistics, explained, "The employment indicators seem to reflect changes in hiring culture, such as a preference for experienced candidates and increases in rolling recruitment, both of which create an even more challenging job environment for today's youth."

Average Time to Graduate Reaches All-Time High of 4 Years and 5.7 Months... Highest Rate of Long-Term Unemployed in 17 Years

As the job market froze, a growing number of university students postponed graduation, lingering within their campus safety net. The average time needed to graduate for youths—covering both four-year universities and junior colleges—rose to a record 4 years and 5.7 months, up 1.3 months from a year earlier and the longest period since statistics began in 2007. Structural factors increasing this timeframe included more students taking leaves of absence to build up their resumes and a substantial rise in the share of four-year university graduates among all college grads (59.5% in 2020 and 69.3% in 2026).

Among college graduates, 48.9% had taken a leave of absence at some point, an increase of 2.5 percentage points from the previous year. As for reasons, men overwhelmingly cited mandatory military service (91.0%), whereas women mostly pointed to "preparing for employment or qualification exams" (60.8%) and "internships or language training" (26.5%). But even upon finally leaving school, difficulties persisted. The average time taken to land a first job after graduation reached 11.2 months.

Among youths who had graduated from their final school but were currently unemployed (1,243,000 people), 605,000 had been unemployed for more than a year, representing 48.6%—the highest percentage since 2009 (51.7%), when the country was feeling the effects of the financial crisis. The proportion of youths remaining unemployed for three years or more also reached a new record at 19.4% (241,000), the highest since statistics were first compiled. In terms of absolute numbers, this is the largest since the pandemic year of 2021 (278,000).

The main activity survey of unemployed youths underscored a bleak reality. Instead of seeking jobs or preparing for exams, 25.3% responded that they "just spent time" without engaging in such efforts. Even for those who did secure a job, the quality of employment has deteriorated: the share of full-time positions among first jobs dipped to 71.2%, a decrease of 1.7 percentage points from the prior year, while the share of part-time ("alba-type") jobs rose 1.5 percentage points to 25.8%.

Meanwhile, as open recruitment for entry-level jobs shrinks and companies’ preference for experienced employees increases—and with calls to improve working conditions for lower-level public officials—the share of economically inactive youths preparing for general civil service exams rebounded, jumping by 3.9 percentage points to 22.1% compared to a year ago.

This content was produced with the assistance of AI translation services.