Abstract

Using survey data, this paper examined the role of unskilled foreign labor in the Korean economy during the recent economic crisis. The study was undertaken to find empirical support on whether foreign labor is a temporary or a structural feature of the economy. The survey confirmed that despite high levels of unemployment during the crisis, Korean workers did not take up so-called 3D jobs. Foreign workers were the ones who worked at these jobs, and the major reason for hiring them was their cheaper cost. Korean policymakers are currently reviewing government policy concerning foreign labor. The survey's findings suggest the ned to modify the government's stand of not accepting foreign labor.

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