Abstract

When economic growth is advanced, the industrial structure generally changes from manufacturing industry to service industry. Looking at the labor market of each industry in Korea, this phenomenon is clearly evident. In particular, the importance of the logistics industry is highlighted in the Korean industry, which is highly dependent on trade. Statistics confirm that the educational wage discrepancy exists and is deepening in the labor market of the logistics industry. This means that the labour market in this industry has been divided according to educational background. By applying human capital theory, high school graduates or lower were divided into low-educated labor without human capital, and college graduates or higher into high-educated labor with embodied human capital. Under this premise, the three factors (capital, low-educated, high-educated labor) Cobb-Douglas production function was postulated and the analysis on labor demand determinants by educational background, was carried out including output, globalization and neutral technical progress. As a result, the relative prices of production factors did not affect the demand of low-educated labor and high-educated labor in the logistics industry. On the other hand, exogenous changes in the logistics industry, such as output, globalization and technical progress, have a significant impact on the labor market by academic background of the logistics industry. In other words, demand of low-educated labor affects changes more flexibly than demand of high-educated labor. Globalization leads to the increase in demand of high-educated labor, while technical progress leads to the decrease in demand of low-educated labor and the increase in demand of high-educated labor. Based on these estimates, the following policies can be suggested: First, employment stabilization policies for low-educated labor are needed because demand of low-educated labor is more severe due to economic fluctuations. Second, technical advances increase total production by improving productivity, but labor policies are needed in preparation for this because unemployment can occur due to a decrease in low-educational labor demand. Third, globalization causes an increase in demand of high-educated labor, so a human resources training policy necessary for the logistics industry is needed.

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