(2nd LD) S. Korea loses 40,000 jobs in May, first drop since 2024 martial law bid

South Korea experienced a significant job market downturn in May, with employment figures dropping by 40,000 compared to the previous year. This marks the first instance of job losses since the nation's martial law period in 2024, indicating a concerning economic trend. The decline was primarily driven by a decrease in the manufacturing sector, which shed 120,000 positions. While some sectors like services saw modest gains, they were insufficient to offset the overall negative performance. The number of employed individuals fell to 28.39 million during the month.

This job market contraction signals potential economic headwinds for South Korea, impacting household incomes and consumer spending.