Korea's unemployment rate unchanged at 2.8 percent in October

Job offers posted on a bulletin board at a job center in Mapo, Seoul, on Wednesday. [YONHAP]

The unemployment rate remained steady at 2.8 percent in October, unchanged from September and down from the 3.2 percent in the same month a year earlier, as hiring remained strong even as interest rates rise rapidly and exports weaken.

“The job market remained strong centered on manufacturing,” said Kong Mi-sook, Statistics Korea director general on social statistics. “But momentum is slowing for the fifth months."

Korea's unemployment rate hit a record low of 2.5 percent in August.

In October, total employment was up 677,000 to 28.4 million. It was the 20th consecutive monthly increase.

The economically inactive totaled 16 million, down 428,000 on year. Of the inactive population, 414,000 have given up on the job search.

While manufacturing hiring was strong, weakness was noted in services.

Manufacturing employment rose 4.7 percent, the 12th straight monthly increase.

Employment at hotels and restaurants was up 7.3 percent, while in the health and welfare category, it was up 4.5 percent.

In wholesales and retail, employment fell 1.8 percent, and in finance and insurance, employment was down 1.9 percent.

Employment was up in all age groups, except for the 40-to-49 age group. Most of the growth in employment was in the 60-and-above category.

The statistics agency official added that the various factors, including inflation, interest rates increases and weak exports weigh on the job market.

In its analysis on the job market released on Wednesday, the Finance Ministry noted momentum will continue to weak next year due to the base effect and the falling population.

BY LEE HO-JEONG [lee.hojeong@joongang.co.kr]