Korea’s retirees exit work in their early 50s, face a precarious second chapter

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Korea’s retirees exit work in their early 50s, face a precarious second chapter

Published: 04 Dec. 2025, 11:54 Updated: 04 Dec. 2025, 17:26

Audio report: written by reporters, read by AI

An image from JTBC drama "The Dream Life of Mr. Kim" [JTBC]

A recently-ended television drama following a middle-aged man who is pushed out of his workplace uses fiction to describe an ever-growing economic reality: Many Koreans now leave their primary careers in their early 50s, then spend years scrambling for lower-paid, less stable work.

JTBC’s “The Dream Life of Mr. Kim” follows Kim Nak-su, a corporate manager who accepts so-called voluntary retirement after refusing to fire his colleagues. He then cycles through failed efforts to get rehired, worries about planning for true retirement and tries to build a second livelihood from scratch. Recent government data show that his trajectory has become common, especially for white-collar workers.

According to the latest figures from the Ministry of Data and Statistics, the average retirement age from a primary job is 52.9, with most men staying in their longest-held workplace for an average of 21 years and 6 months. Many leave not because they feel ready, but because companies downsize or close operations — a pattern the drama captures by making Kim’s exit a choice shaped by organizational pressure.

The show also mirrors what often happens next.

The Ministry of Employment and Labor, analyzing employment insurance data for people born between 1964 and 1974, found that only 30.5 percent returned to the same type of work after losing their primary employment. Nearly 70 percent moved into different occupations, typically with less security and weaker pay.

The drama also notes that Nak-su's most valuable asset, aside from his severance pay, is an apartment in Gangdong District, eastern Seoul. Many older households face a similar imbalance.

The most recent survey of household finances and living conditions shows that real estate accounts for 81.2 percent of assets for households led by someone 60 or older. For those in their 50s, the figure is 74.6 percent. With wealth tied up in property, many struggle with liquidity and cannot prepare adequately for retirement.

Many in their 50s say they are preparing for retirement, but nearly 70 percent rely mainly on the national pension. Given that the income replacement rate of the National Pension Service remains in the 40 percent range, it does not provide sufficient support for retirement. In the drama, Nak-su tries to secure rental income by investing in a commercial property, only to fall victim to fraud.

The photo shows the Seoul Northern Regional Headquarters of the National Pension Service in western Seoul on Nov. 26. [NEWS1]

He eventually starts a car wash business with a former colleague. Because the job has no mandatory retirement age, he can continue working well past 60.

Findings from the Data Ministry reflect the same trend. As of May, more than 10 million Koreans between 55 and 79 took part in the labor force, and about 70 percent of them said they want to keep working. Their preferred retirement age averaged 73.4.

Voluntary retirement programs at large corporations add to the drama’s sense of realism. The telecommunications industry, where Nak-su worked in the series, carries out similar programs.

In October last year, KT launched a voluntary retirement initiative. This year, SK Telecom and SK Broadband are doing the same. Other major companies such as Hyundai Steel, LG Display and Lotte Chilsung Beverage also introduced voluntary retirement programs recently, continuing a broader wave of companies restructuring.

Apartments are seen from Mount Namsan in central Seoul on Dec. 2. [NEWS1]

Experts say that Nak-su's early exit from his primary job and his move into the secondary labor market highlight key issues in the ongoing debate over extending the mandatory retirement age.

“Even if lawmakers raise the retirement age, voluntary retirement programs may simply expand unless companies change their seniority-based pay structures,” said Yoon Dong-yeol, a personnel management professor at Konkuk University. “If Korea wants a retirement-age extension that actually keeps older workers employed, wages must reflect job duties, roles and performance instead of age.”

Another expert agreed that raising the retirement age alone will not solve the underlying problems.

“Raising the legal retirement age without addressing productivity or wage structures could reduce hiring for young workers and still push many middle-aged workers out of the labor market through voluntary retirement,” said Kim Deok-ho, a professor at Sungkyunkwan University’s Graduate School of Governance. “Nak-su struggles to return to his old field because labor-market rigidity discourages companies from hiring older workers. A blanket extension of the retirement age could worsen the problem.”

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
BY KIM YEON-JOO [[email protected]]