The Employment Effect of the Customised Care Service for Community Dwelling Elderly in South Korea: An Input-Output Model Analysis of Secondary Data

Abstract

Abstract Background Given the increasing focus on ageing in place (AIP), the importance of caring for older individuals living alone is rising. In Korea, the government has reformed community care services by integrating the previously separated social, health and support services into a single service and expanding its coverage. Methods An input-output analysis was employed to estimate the employment effect of the newly integrated community care service policy targeting older people living alone. Results The customised care service for the elderly generated a total of 77.8 employments per 1 billion KRW. Among them, the direct employment effect was 47.5 persons, and the indirect employment effect was 30.3 persons for every 1 billion KRW. Notably, the total employment effect of the customised care service for the elderly policy in Korea is 6.0 times higher compared to the health care and social work industry sector and 10.5 times higher compared to all industries. Conclusion The customised care service for the elderly not only meets the care needs of elderly individuals residing in the local community but has also proven to be a highly effective initiative in creating employment opportunities for middle-aged women who have been marginalised in the workforce. However, beneath the quantitative employment effects, challenges such as low wages and job insecurity highlight the need for policy alternatives to address the underlying issue of insufficient improvement in working conditions.