Breeze in Busan

Tag: shortage

  • Labor Shortages in Korean Shipbuilding Industry Threaten Delays in Production

    Labor Shortages in Korean Shipbuilding Industry Threaten Delays in Production

    Several South Korean shipbuilders are facing delays in production due to a shortage of workers. As a result, local governments are offering unconventional subsidies of around 10 million won (approximately $8,500) to attract more laborers this year.

    Hyundai Heavy Industries, Daewoo Shipbuilding & Marine Engineering, and Samsung Heavy Industries, three of the country’s biggest shipbuilders, are experiencing delays of up to two months based on dockyard plans. While the number of orders is increasing, the number of workers on site is decreasing, leading to delays in production. Even Hyundai Heavy Industries, the world’s largest shipbuilder, has reportedly had to push back some of its processes by over a month.

    The main reason for the delay is said to be a severe shortage of labor among outside contractors, making it difficult for the shipyards to fulfill the orders they received years ago. To combat the situation, local governments are offering significant benefits for new shipyard hires, including cash subsidies of up to 10 million won.

    Geoje, the largest shipbuilding city in South Korea, recently finalized a 10 million won subsidy for new hires. Workers who are newly hired by shipyards will receive 1 million won for working three months, and a Youth Daily Fulfillment Subsidy will provide 6 million won. This year, the city will also provide 3.6 million won for migrant settlement, paying 300,000 won per month for 12 months. Ulsan City will also provide a cash subsidy similar to Geoje by supporting 3 million won in settlement costs.

    Additionally, companies have announced measures to attract workers. Hyundai Heavy Industries will provide 1 million won in monthly scholarships and free dormitories to foster 1,000 shipbuilding technical talents.

    Despite the significant support being offered, the influx of labor into the shipbuilding industry is slow, and the industry is facing an employment crisis as delays show signs of prolonging for the first time ever. Outsourcing unit prices have surged by 20%, and even large shipyards have seen wages and subcontractor unit costs rise as delays intensify.

    As a result, the government recently introduced a system that allows foreigners to work in shipyards within 10 days and allows those with no work experience to work after receiving training. Some local universities are also creating specialized majors for foreign students working in shipyards.

    The South Korean shipbuilding industry is facing significant labor shortages, causing delays in production and increased outsourcing costs. While local governments and companies are offering significant benefits and incentives to attract new workers, the influx of labor remains slow. The industry may have to increasingly rely on foreign workers to meet its production targets.

  • South Korea’s Dire Doctor Shortage: A Call to Action

    South Korea’s Dire Doctor Shortage: A Call to Action

    South Korea has a well-established reputation for world-class healthcare infrastructure. Despite this, the country is facing a critical shortage of specialized doctors, particularly in essential areas such as higher-risk surgeries, pediatrics, and general medicine. This is a problem that needs to be addressed quickly and efficiently, as the shortage is only expected to worsen in the coming years.

    The government has been exploring various proposals to solve this pressing issue, including a recent suggestion from Health Minister Cho Kyoo-hong to reduce the severity of punishment for medical negligence or malpractice. This proposal has received criticism from patient advocacy groups, who believe that it is a step in the wrong direction and that the focus should be on catering to the needs of patients rather than protecting doctors.

    The shortage of specialized doctors in South Korea is indeed dire. With only 2.5 doctors per 1,000 inhabitants, compared to the OECD average of 3.7, the country has seen instances where a hospital had to stop offering inpatient care for children due to a lack of resident pediatricians. The root of the problem starts at the university level, where the government has a cap on the number of students admitted to medical schools each year. This has led to a situation where aspiring medical professionals are more likely to choose fields like cosmetic surgery, which are less regulated and more profitable, instead of critical care.

    This situation is further compounded by the high workloads faced by doctors, with 98% of residents working over 80 hours a week in 2017, and surgery-related departments struggling to fill up residency programs. The declining fertility rate and aging population in South Korea have also led to fewer doctors wanting to work in pediatrics and obstetrics.

    Despite the high salaries earned by doctors in South Korea, which are four times the average salary of other professionals, the lack of liability protections for medical professionals is a major concern. A study from the Korea Medical Association showed that over 750 doctors are criminally charged with professional negligence resulting in death or injury every year, which is much higher than in other developed countries like Japan, the UK, and Germany.

    This issue has led to a decline in public faith in hospitals and surgeons, with patients having the lowest perception of their own health status of all OECD countries. To address this, the government has taken steps to install surveillance cameras in operating rooms to prevent cases of malpractice.

    South Korea’s dire shortage of specialized doctors is a pressing issue that requires immediate action. The government must work towards creating a supportive and sustainable healthcare environment that attracts aspiring medical professionals to choose critical care over more lucrative fields. At the same time, it must also take measures to protect patients and restore public faith in the healthcare system.