Kilsang YOO President, Korea Employment Information Service (KEIS) Vice President, Asia and the Pacific Region, World Association of Public Employment Service (WAPES) September 17, 2014
Dec 23, 2015
Kilsang YOOPresident, Korea Employment Information Service (KEIS)
Vice President, Asia and the Pacific Region, World Association of Public Employment Service (WAPES)
September 17, 2014
II Historical Development of Korean PES
IVIV Conclusion
IIII Outline of Current Korean PES
IIIIII PES Reform in Korea
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1. Colonial Period (1910-1945)
2. A Dark Period (1945-1995)
Historical Development of Korean PESII
In 1922, the first Public Employment Office was opened.
The public employment offices were in the front line of colonial exploitation by compulsory mobilization of Koreans.
The Employment Security Law was enacted in 1961
Formation of bad image on PES in Korea
Municipal PES offices (44) low quality of services⇒
Amendment of the Employment Security Law in 1967Change the jurisdiction of PES offices from municipal to central government (the Administration of Labor)
In 1972, PES offices (44) were integrated into the Local Labor Offices as an Employment Security Division. Retrocession of PES⇒In this period, Korean government was reluctant to develop PES due to the bad image on PES, formed in Japanese colonial period.
This caused the uncontrolled private employment agencies to provide low quality and unlawful services.Fixation of bad image on employment services
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3. Dawning Period of PES (1995-1997)
4. Expansion Period of PES (1998-2005)
Historical Development of Korean PES (cont.)II
Introduction of Employment Insurance (EI) in July 1995 served as a momentum of PES de-velopment for operation of EI programs.
In the process of introducing EI, the Employment Insurance Research Commission, which was in charge of designing Korean EI model, recommended a semi-autonomous public em-ployment agency for administration of EI programs and development of PES.
The Ministry of Labor decided the local labor offices (44) to implement EI programs and em-ployment service.
Korean financial crisis in late 1997 gave an opportunity to develop PES to overcome high unemployment and to change deep-rooted bad image on PES.
For payment of unemployment benefit, the Ministry of Labor established local Job Centers under the local labor offices and increased staffs of the PES.
The number of Job Centers : 99 (1998) → 122 (1999) → 168(2001) → 118 (2004)
The staffs of Job Centers were consisted with civil servants (22%) and non civil servant job counselors (78%).
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Historical Development of Korean PES (cont.)II
5. Development Period of PES (2004-present)
On April 6, 2005, President of Korea declared that development of PES shall be imple-mented as a national agenda project.
Turn the non civil vocational counselors into civil servants (in 2006)Merging Job Centers for optimal size : 118 (2004) → 82 (2008)Increased the number of staffs of Job Centers : 2,500 (2005) → 4,769 (2012)Development of employment information service system : established KEIS (2006)Introduction of in-depth counseling : target specific individualized services Introduction of competition among ministries and provincial/municipal governments
The following governments also have implemented development of PES as a national agenda project.
In 2009, Korea introduced a tailored employment support program for low-income job seek-ers, called “Employment Success Package Program”, and has expanded it year by year.
Current government has focused “Tailored Employment/Welfare” as a major national policy of PES and welfare.
“Job/Welfare Plus Center” (one-stop employment/welfare service center)
Introduction of target specific job centers for the career break women,disabled, aged, veterans, etc. (become more complex)
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1. Public Employment Service Network
Outline of Current Korean PESIIII
Municipal Job Centers(289)
Special Job Cen-ters
for the Disabled(18), Women(120), Veterans(5)
and Outplacement Ser-vice Center(25)
Regional Employment and Labor Office (6)
Job Center (83)
Job matching, Job counseling, Unemployment Benefits
Planning &Management
Division
Employment Support
Division I, II
Job SkillsDevelopment
Division
EnterpriseSupportDivision
LocalCooperation
Division
Benefit FraudInvestigation
Division
Supporting voca-tional training
Subsidies, Em-ployment Permit for migrant work-ers
Development of local partnership
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Category Organizations
Central Government Ministry of Employment and Labor (MOEL) : Job Centers (83), Job/Welfare Plus Center (5)Ministry of Patriot & Veteran : Job Centers for pa-triots and veterans (3)Ministry of Defense : Job Centers for veterans (2)
Public Institutions/NPO KEIS (MOEL)Job Centers for the disabled (18) (Employment Promotion Agency for the Disabled : MOEL)Korea Job World (1) (MOEL)Outplacement Service Center for the Mid-aged (25) (subsidized by MOEL)Women New Job Centers (120) (subsidized by Ministry of Gender Equality and Family)
Provincial/MunicipalGovernment
Provincial/Municipal Job Centers (289) (small size)
Private Employment Agency PrEAs (9,000), Temporary Work Agencies (2,000)
Outline of Current Korean PES (cont.)IIII
2. Structure of Korean Employment Services
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Outline of Current Korean PES (cont.)IIII
3. KEIS (Korea Employment Information Service)Major Functions of KEIS
Collects, analyzes and provides information on the labor market
Forecasts demand and supply of manpower
Implements panel surveys such as Youth Panel, Graduate Occupational Mobility Survey, Korea Longitudinal Survey for the Aged, Employment Path Survey for High School Graduates, Employee Mobility Survey
Develops and evaluates tailored employment support programs and career guid-ances
Assists development of public and private employment services
Monitors and evaluates major labor market programs
Develops and operates employment information networks such as Work-Net(www.work.go.kr), Human Resources Development Network(hrd.go.kr), Em-ployment Insurance Network(www.ei.go.kr), Employment Permit System(www.eps.go.kr), Ilmoa System(www.ilmoa.go.kr)
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Outline of Current Korean PES (cont.)IIII
Labor Market Analysis System
EIS
Major Employment Information Networks of KEIS
PrivateJob
PortalsContracted- out
ProvidersJob Cen-
ters of Other
Ministries
HRDKoreaQNet
MunicipalJob
Centers
National Health
InsuranceService
NationalTax
Authority
Employment sup-port
of migrantworkers
(open 2004)
Subsidized job bank
(open 2009)
Employment Support
Job bank Application for jobs and
job seekers Tailored employment
support Career guidance infor-
mation
(open 1998)
Vocational Training
VT support for job seek-ers and the employed
VT support for employ-ers
Individual Training Account
(open 2003)
Management of cov-ered employees and enterprises
Administration of EI programs
(open 1995)
Employment Insurance
Tailored employment & welfare support
(open 2012)
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1. Directions of PES Reform
Korean government has reformed PES since 2005.
Basic Directions of PES Reform
Modernization of local job centers
Individualized tailored service for vulnerable groups : customer-focused, case management approach, streamlining services through integration of programs
Establishment of one-stop service delivery system, closer linkage between employment services and welfare services
Development of local partnership in employment and welfare services
Strengthen infrastructure for better employment information services: KEIS
Activation for welfare recipients
Performance-based approach to services
PES Reform in KoreaIIIIII
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2. Cases of PES Reform
Case I : Employment Success Package ProgramCase I : Employment Success Package Program
Korea has implemented a pilot employment support package program for low-income job seekers, called “Employment Success Package Program”, since 2009 at PES and PrES.
This was the first customized case management approach in employment service in Korea (like the New Deal in the U.K.).
The project produced good results, reaching 62% in employment rate (at the end of March, 2013).
Based on the good performance, it has been expanded the annual size of service volume and target groups from low-income job seekers to the youth and the displaced middle-aged since 2012.
PES Reform in Korea (cont.)IIIIII
Type Ⅰ : for low-income job seekers Type Ⅱ : for the Youth and the displaced mid-aged job seekers
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Case I : Employment Success Package Program (cont.)Case I : Employment Success Package Program (cont.)
2. Cases of PES Reform (cont.)
PES Reform in Korea (cont.)IIIIII
Service Flow of the Employment Success Package
1st StageDiagnosis of em-ployment barriers
Enhancement of will-ingness to work
Formulation of Indi-vidual Action Plan (IAP)
<3 weeks>
2nd StageEnhancement of job competency (Free vocational training)
Enhancement of job adaptive power
Subsidized work ex-perience
<6 months>
3nd StageIntensive Job placement (3 months)
Accompanied job interview
Tailored job search skill clinic
Employment suc-cess allowance
After ServiceJob adaptive sup-port for employed participants
Further intensive job placement for un-employed partici-pants
<3 months>
Participation al-lowance
(maximum 200,000 KRW)
Participation al-lowance
(maximum 400,000 KRW per month for 6
months)
Employment suc-cess allowance (1 million KRW;
sustain employment for 1 month: 0.2M KRW,3 months: 0.3M KRW,6 months: 0.5M KRW)
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MOELPlanning,Budgeting, &Monitoring
Pro
gram
im
plem
enta
tion
Finding target people and
connecting to Job Center
Research
Training
Information Network
PES Reform in Korea (cont.)IIIIII
Program design & consultingDevelopment of service manualPerformance evaluation
Training case managersWorkshop for sharing best practices
Development & management of information network for the program
Partnership in Employment Success Package Program
MOELJob Center
Case managers
Municipal Gov't
Case managers
Contracted-out PrES/PES
Case managers
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Case II : Job/Welfare Plus CenterCase II : Job/Welfare Plus Center
Problems with segmented, provider-oriented, and very complex em-ployment and welfare delivery channels
Two many similar employment support and welfare programs
Little partnership in each level of services
Background
2. Cases of PES Reform (cont.)
PES Reform in Korea (cont.)IIIIII
(Central-Central) Segmented and duplicated services from diverse ministries
(Central-Local) Services also segmented and too many similar programs
(Public-Private) Low quality services and limited public-private partnership
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Case II : Job/Welfare Plus Center (cont.)Case II : Job/Welfare Plus Center (cont.)
2. Cases of PES Reform (cont.)
PES Reform in Korea (cont.)IIIIII
Integrated model of job placement, business creation, welfare ser-vices, health and medical services, and micro credit financing ser-vice with one stop visit under the one roof, same branded office
Central-local & public-private partnership model
Provide one-stop employment and welfare services
Characteristics of Job/Welfare Plus Center
The first pilot Job/Welfare Plus Center was opened on 6th January, 2014 at Namyangju City in cooperation with various employment/welfare related agencies.
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Organizations Officers Services
Job Center (MOEL) 16 Job placement, unemployment benefit, career counseling, vocational training, employer services
Municipal Job Center 9 Job placement
New Job Center for Women (YWCA) 9 Job placement, vocational training, internship,
group counseling
Local Workfare Center(YWCA)
12 Workfare works, vocational training, welfare to work program
MunicipalWelfare Service Center
4 Welfare counseling, individual case management, public assistance services
Namyangju Job/Welfare Plus Center
Case II : Job/Welfare Plus Center (cont.)Case II : Job/Welfare Plus Center (cont.)
2. Cases of PES Reform (cont.)
PES Reform in Korea (cont.)IIIIII
Participating organizations of Namyangju One-stop center
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Job Success Package Program
Initial counseling/First visit client
Micro Credit Financial Counseling
VT Counseling/Training Account
Unemployment Benefit
Women New Job Center
Welfare Service/Municipal Gov’t Job Matching Service
Overall view
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2. Cases of PES Reform (cont.)
PES Reform in Korea (cont.)IIIIII
Increase in the number of visitors : 163% for New job center, 23% for Municipal Job center
Increase in the number of job placement : 123.8% (MOEL Job Center + New Job Center for Women + Municipal Job center)
Increase in customer satisfaction
Performance of the Namyangju Pilot One-stop Center
70.6% of customers were satisfied(4.0/5.0)86.0% of customers answered that they will re-visit and re-use one-stop center
Government’s Future PlanAlready opened 5 one-stop centers and 5 more in 2014, will open 20 one-stop cen-ters in each year until 2017 (Total 70 one-stop centers by 2017)
Case II : Job/Welfare Plus Center (cont.)Case II : Job/Welfare Plus Center (cont.)
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ConclusionIVIV
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Korea has experimented many diverse PES models, but Korean PES is still designing its blue print.
Korean experiences show following implications:One-stop service center with unified governance is effective in job matching and activating people.
Individualized tailored employment and welfare services are useful.
Development of employment information service and integration of on/off-line service institutions are essential.
Central-central, central-local, public-private partnership is impor-tant.
Profiling of job seekers are necessary for focusing more vulnerable groups.
Appropriate case load per case manager and number of qualified case managers are essential for tailored case management.