South Korea will offer a transportation subsidy for young workers in remote industrial areas to encourage small and medium-size companies to employ them, the industry ministry said Thursday.
The Ministry of Trade, Industry and Energy said it will monthly provide 50,000 won ($46.4) for workers aged between 15 and 34 employed by small companies to work in areas that lack adequate public transit service.
Those who are qualified for the program will be available for the subsidy that can be used for bus, subway and taxi fares, as well as fuel for cars, starting from July.
An industrial complex in Gumi, 261 kilometers southeast of Seoul, is shown in this photo provided by the Gumi city government on Jan. 23, 2018. (Yonhap)
"It is expected to ease the transportation expenditure burden on young workers and help small companies in industrial zones retain them and hire more," the ministry said.
The government set aside 48.8 billion won for the program in the supplementary budget passed last month as a way to boost youth employment.
Youth unemployment has consistently worsened due mainly to structural changes in the country's industrial, educational and labor markets. In March, the unemployment rate for people between 15 and 29 years of age came to 11.6 percent, the highest for the month since 2016, according to the government data. (Yonhap)