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AII-1001-44519
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ChatGPT adoption linked to 211,000 youth job losses in South Korea

The Bank of Korea analysed employment data and reported that since ChatGPT's release in late 2022, youth job losses concentrated in industries heavily exposed to AI, with 211,000 youth positions lost while workers aged 50+ gained 209,000 jobs, largely in those same sectors. The analysis suggests youth perform routinised tasks vulnerable to AI substitution, while older workers hold complex roles AI cannot easily replace.

30 October 2025 Β· OpenAI Β· Governance, accountability and labour
30 October 2025
AII-1001-44519
Quick facts
Category
Governance, accountability and labour
Country
South Korea
Date
30 October 2025
Drafted by
Raidu Incident Detection

What happened

The Bank of Korea analysed the impact of AI expansion on youth employment using national pension subscriber data, categorising industries by AI exposure levels. Since ChatGPT's release in November 2022, youth job losses concentrated in high-exposure sectors, totalling 211,000 positions lost between July 2022 and July 2025.

In the same period, over 98.6% of lost youth jobs (208,000) occurred in high-exposure industries, while workers aged 50+ saw 209,000 new positions created, with 69.9% in high-exposure sectors. Computer programming, system integration and management (-11.2%), information services (-23.8%), publishing (-20.4%), and professional services (-8.8%) experienced the largest youth employment declines.

Reported impact

Youth workers perform routinised, standardised tasks that AI readily substitutes, while mid-career and senior workers handle context-dependent, interpersonal and organisational management roles that AI cannot easily replace. The Bank of Korea stated that early AI expansion showed youth employment contracting while mid-career employment expanded, a pattern termed 'senior-biased technological change'.

In sectors where AI complements rather than replaces human work, such as healthcare, education and aviation, youth employment did not decline. Wage effects from AI adoption were not yet clearly observable.

Index analysis

Youth with intermediate to advanced education levels faced greater vulnerability to AI replacement, with work-hour reductions of 7.6% for master's degree holders and 5.0% for four-year university graduates, compared to 3.7% for doctorates and 0.8% for high school graduates.

The Bank of Korea noted that whether the initial youth employment contraction will continue is uncertain, and that companies may face talent pipeline degradation from reduced youth hiring, creating incentives to develop AI-collaborative workforce strategies and job redesign.

Classification

Category
Governance, accountability and labour
Industry
Business processes and support services
Country
South Korea
Harm status
Actual harm
Intent
Unintentional
Timing
Post-deployment
Harm types
Economic or property
Harmed
Workers
AI systems
ChatGPT

Sources and evidence

Sources not yet published

This record was researched and written by the Index from original reporting. Its sources are still being verified by an editor, and they are listed here once that check is complete. Until then the record carries no reviewer.

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