- Some Korean companies are offering $75,000 bonuses to employees who have children.
- Two companies, Booyoung Group and Ssangbangwool, announced maternity programs this month.
- South Korea’s birth rate was 0.78 in 2022, far below the 2.1 required to maintain the population.
Would You like a feature Interview?
All Interviews are 100% FREE of Charge
South Korean companies are giving employees up to $75,000 to have children and help improve the country’s stagnant birth rate.
Lingerie company Sambangul announced Thursday that it will give employees $22,400 for their first child, an additional $22,400 for their second child and $30,000 for their third child. According to the Korea Herald.
According to the paper, a company spokesperson said, “The declining birthrate is an important issue that society must overcome.Our company will take responsibility and do our best to improve the country’s birth rate.”
The announcement comes after Seoul-based construction company Booyoung Group announced earlier this month that it would give employees with infants a bonus of $75,000 per child. CNN reported.
According to CNN, Booyoung Group has extended bonuses to employees who have children starting in 2021. The company is in the process of paying $5.25 million in cash to its employees, who have collectively given birth to at least 70 children since 2021.
Both men and women can claim the bonus, the newspaper reported.
Like China and Japan, South Korea’s population is aging and becoming increasingly imbalanced, which could reduce the domestic supply of young workers while increasing the number of retirees in need of medical care.
The national birth rate in 2022 was 0.78, and the birth rate in Seoul, where one-fifth of the country’s population is concentrated, was even lower at 0.59 in the same year. According to the latest government statistics.
The country needs a birth rate of 2.1 to maintain its current population.
February 13th, South Korean President Yun Seok-Yeol ordered his government Develop tax incentives and subsidies for companies that encourage employees to have children.
Seoul city government provides parents with a child $750 a month until the child turns one year old.