It has been confirmed that the government, which promised to focus on creating jobs for youth, has reduced the youth employment budget, including the Youth Tomorrow Filling Credit. The employment safety net budget, including job-seeking benefits and social insurance premium support, was also reduced. The government explains that this is a budget adjustment in response to improved employment figures, including a drop in unemployment, but some point out that excessive budget cuts were made in a situation where youth jobs are decreasing.
According to the Ministry of Strategy and Finance on the 31st, next year’s Youth Tomorrow Filling Credit budget was set at 420.6 billion won less than this year’s budget. The Youth Tomorrow Filling Credit budget, which combines the employment insurance fund and general accounting, was 640.2 billion won this year, but will be reduced by more than half. The budget that supported the employment market, which had shrunk due to COVID-19, will also be significantly reduced, such as the Youth Additional Employment Incentive ( -222.3 billion won) and the Employment Maintenance Support Fund ( -126 billion won).
The Youth Tomorrow Filling Credit is a policy that provides a lump sum of money to those just starting out in society and supports the recruitment of young people to small and medium-sized companies. If the youth, business, and government jointly save 4 million won each for two years, the young person will receive 12 million won at maturity. Until last year, 217,097 young people met their maturity and received deductions. The average working period of young people who signed up was 53.3 months, which was longer than that of non-subscribed people (25.4 months), which received positive reviews from companies. The Youth Tomorrow Filling Credit is considered a representative job policy of the Moon Jae-in administration.
The government explains that it reduced the related budget because the number of applicants for the Youth Tomorrow Filling Credit has decreased. However, this is analyzed토토사이트 to be the effect of a significant reduction in the number of applicants for the Youth Tomorrow Filling Credit last year. Last year, the government limited the industries supported by the Youth Tomorrow Filling Credit to manufacturing and construction. The number of new subscribers was also limited to 10,000. Since both the ‘Youth Leap Account’ and the Youth Tomorrow Savings Credit, which President Yoon Seok-yeol has pledged since he was a candidate, are policies that help young people raise a lump sum, it is interpreted as an attempt to give strength to the Youth Leap Account.
This is why it is pointed out that excessive budget cuts were made because it was a previous government project at a time when youth jobs are decreasing. Wage jobs for people in their 20s and younger decreased in the first quarter of this year, following the fourth quarter of last year. In one year, 61,000 youth jobs were lost. However , an official from the Ministry of Strategy and Finance said, “This is due to the end of a temporary project that started due to the COVID-19 employment crisis,” and added, “The youth employment budget has increased through the establishment of employment incentives for vacant job sectors.”
The employment safety net budget, including job-seeking benefits and eliminating blind spots in social insurance, has also shrunk. Job-seeking benefits are a representative employment safety net policy that provides support for receiving 60% of average wages during unemployment. Next year’s job-seeking benefit budget was set at 269.6 billion won less than this year’s budget. The budget for sharing social insurance premiums for low-wage workers and specially employed artists is also expected to decrease by 238.9 billion won. The budget for the ‘National Employment Support System’, which provides living expenses and employment services to low-income job seekers, was also reduced by 282.9 billion won.An official from the Ministry of Strategy and Finance explained, “As employment indicators improved, we reduced the related budget based on precise estimates of the unemployed.”