According to the 2023 job portal “Saramin,” it was ranked number one on the list of “abnormal” job markets. The reality is that even graduates of reputable four-year universities in Seoul struggle to find employment. Even with impressive certifications, strong qualifications, and high GPAs, many candidates are rejected at the resume screening stage—let alone making it to a company interview.
Many members of the MZ generation—who are highly intelligent, have attended top-tier schools, and earned master’s degrees—struggle to clear the hurdle of finding employment. Yet the question of why companies are increasingly demanding “work experience” even from new graduates suggests that this is not merely a problem for individual young people, but rather a sign that the structure of the job market is rapidly changing.
Whereas in the past, companies aimed to hire new employees, train them, and develop them to fit the organization, today’s companies face the reality that even when they hire new employees, not only do many leave before completing two years, but the frequent job-hopping among new hires has become a problem, leading many companies to favor hiring experienced professionals instead. Additionally, an increasing number of companies are seeking employees who can deliver immediate results.
Rapid Advances in AI
The job market has shrunk due to changes brought about by AI. With the emergence of ChatGPT in 2021, countless jobs have been put at risk. The scope of tasks that AI can replace has expanded rapidly—not only simple, repetitive tasks but also planning, analysis, translation, design, and even coding. We have now entered an era where tasks that were once considered “work that only humans could do” can be completed in just a few minutes using a single AI tool.
From a corporate perspective, the advent of AI presented an opportunity to restructure their workforce; even when achieving the same results, companies no longer needed to employ as many people, and they were able to shoulder the costs and risks associated with hiring new employees.
Young People Who Need to Lower Their Expectations When Looking for a Job
Since companies are looking exclusively for “experience,” entry-level candidates are finding fewer and fewer opportunities. Faced with this reality, many young people continue to prepare for employment while targeting only large corporations, public enterprises, and well-known companies. However, as the job market becomes more competitive and the number of applicants increases, insisting on the same criteria may actually delay their entry into the workforce.
We’re now in an era where “what you experience” is more important than “where you start.” Even if you’re not working at a large corporation, gaining hands-on experience at a small or medium-sized enterprise (SME) or a startup is a valuable addition to your resume. Because the scope of responsibilities for each individual is broad at SMEs, even new hires have many opportunities to experience the entire process—from planning and execution to results—firsthand. This environment can actually help you develop practical skills more quickly than performing only fragmented tasks at a large corporation.
Reasons for Avoiding Small and Medium-Sized Enterprises
Of course, it is true that there are negative perceptions of small and medium-sized enterprises. Low salaries, an uncertain future, and a disorganized training system are among the reasons why young people shy away from small and medium-sized enterprises.
"The phenomenon of young people shunning small and medium-sized enterprises can no longer be dismissed as merely a matter of personal expectations or selfishness. According to a 2023 survey of 300 young people conducted by the Korea Federation of SMEs, the primary reason for avoiding SMEs was ‘low compensation relative to the workload,’ followed by ‘difficulty achieving work-life balance.’
It is particularly noteworthy that “wages and benefits” rank as the top factor young people consider most important when choosing a job. This is a practical criterion directly linked to making a living and can be considered the minimum requirement for planning their future. However, many small and medium-sized enterprises (SMEs) have become entrenched in a structure where one person takes on multiple roles due to labor shortages, and in many cases, wages and benefits do not keep pace with these demands. In such an environment, asking young people to choose SMEs is bound to lack persuasiveness."
However, not all small and medium-sized enterprises operate under the same conditions. If you identify companies with growth potential and gain work experience for a certain period at a company that aligns with your major and career goals, this can serve as a stepping stone for your next job move or career advancement.
The job market is clearly changing rapidly in a way that puts young people at a disadvantage. However, if one clings solely to the standards of the past amid this shifting landscape, the consequences will fall squarely on the individual. Lowering one’s expectations does not mean giving up on one’s dreams; rather, it can be a choice to start from a lower rung in order to go further.
