Has The M-shaped Curve Of South Korea's Female Employment Rate Disappeared?

From M-curve to Modern Workforce: A Closer Look at Female Employment in Korea

There is an ongoing debate about the declining fertility rate in South Korea, with women's working conditions often cited as a contributing factor.

For some time, the term 'M-shaped curve' has been used to intuitively describe this working environment. Recently, it has been suggested that the M-shaped curve is disappearing. However, many issues make it difficult to conclude that the problem has been solved.

Let's connect the data dots

Fourteen years ago, South Korea's female employment rate peaked at 25-29 and then dropped sharply at 30-34, creating an 'M-curve.' I believe similar patterns exist globally, influenced by factors like marriage and childbirth. In 2009, the average age for a first marriage was 28.71 years, and for childbirth, 30.97 years.

In 2023, the female employment rate shows a gradual decline in the 35-39 age group without the sharp drop seen previously. While the 25-29 age group still has the highest employment rate, the sharp drop and rebound of the M-shaped curve have lessened. This change is likely due to later marriage and childbirth ages, which are not entirely positive. As the age of childbearing has increased, childlessness has also become more common. In 2022, the average age of first marriage for women was 31.26 years, and the average age of childbirth was 33.53 years.

Let's look at the employment rate for men.

Let’s zoom it this graph.

In 2023, the male employment rate for the 35-39 age group is 90.7%, while the female rate is only 64.7%. This divergence suggests different economic activity ages for men and women. Some argue this indicates women are less responsible, but a broader view reveals that Korean society demands excessive responsibility from men and limits economic empowerment for women, creating challenges for both genders.

Let's zoom out this graph.

While attention is on the 30-somethings, the employment rate for those over 60 is significantly declining. This raises the question: how prepared are we for retirement?

How should we prepare for retirement while building economic power in Korea? Many view post-pandemic wealth increases as success and expect others to follow suit, with a surge in related content sales, whether authentic or not. However, is this path suitable for everyone? A smarter approach may be to boost employment and productivity across all ages. This is a growing concern in the employment graph that needs addressing.