“Layoffs in the U.S., reduction in hiring in Korea… In the AI ​​era, the door to youth employment closes first” Korea Labor Institute

Jang Ji-yeon, senior research fellow at the Korea Labor Institute, made this statement while giving a presentation on the topic of ‘How AI changes employment’ at a forum hosted by the Ministry of Finance and Economy and KDI held on the 9th. “AI is a seniority-biased technology…young people absorb the first shock.” Commissioner Jang diagnosed that while cases of layoffs due to AI are being observed in the United States, in Korea, the shock is occurring in the form of reduced hiring rather than explicit layoffs. He said, “Because AI is a seniority-biased technology that encroaches on standardized, entry-level tasks, I think the door is quietly closing at the entry stage.” Next, the crack lines in the future labor market were presented in three categories: ▲between generations (existing entrants and new entrants) ▲occupations with high exposure to AI and those without ▲sectors benefiting from the AI ​​boom (semiconductors, etc.) and other sectors.