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Labor market dualism and social insurance coverage in Korea

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Frame of Image hat state welfare is not doing enough to resolve the issue, either. This insecurity is not only apparent in the workplace but is also manifesting itself within families in the form of lower birthrates, while the issue of inequality is also emerging in various areas (Chang, 2009). Some say that “economic growth” is a panacea for all these issues and that “jobs are the best kind of welfare,” but our experience tells a different story. Even with great performance in exports and various other economic indicators, income polarization has intensified, and life has become even more difficult for people in low-income groups. Korea has never suffered from the phenomenon of “welfare without work,” and the members of Korean society have a very high willingness to work, but the issue of the working poor continues to worsen. The issues that Korea faces can be attributed to its dual labor market and its exclusive welfare regime. The dual structure of the Korean labor market provides stable livelihoods only to members of the upper tier (primary market), and those in the lower tier (secondary market) are relegated perhaps not to unemployment but nonetheless to an environment of prevalent underemployment within which low income is combined with employment insecurity. Further compounding this issue is the fact that workers in this secondary market are usually excluded from state welfare. A dual market with a huge secondary market, and a social security system showing signs of gaping holes: How


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Title Labor market dualism and social insurance coverage in Korea
Similar Titles
Material Type Reports
Author(English)

Chang, Jiyeun

Publisher

[Seoul] : KLI
Date 2012-03
Series Title; No e-Labor News / 119
Pages 20
Subject Country South Korea(Asia and Pacific)
Language English
File Type Documents
Original Format pdf
Subject Social Development < Employment
Holding KLI; KDI School
License

User Note

This paper was presented at the international conference “Welfare States’ Response to Labor Market Dualism and
The Working Poor” held in Seoul on December 16, 2011.