VIRUS AFFECTS EMPLOYMENT FIGURES

[Anchor Lead]

The employment data for the month of February, when COVID-19 started spreading across the nation, clearly showed the impact of the virus. The service sector appeared to have suffered the most, as hiring by the lodging and restaurant businesses noticeably slowed down.

[Pkg]

Restaurants. Empty, due to the COVID-19 outbreak. Seeing almost no customers, owners are laying off employees.

[Soundbite] (RESTAURANT OWNER(VOICE MODIFIED)) : "I cut down on the staff because we have a lot less customers these days and also because of the virus."

Given the situation, the number of people landing jobs in the lodging and restaurant businesses in February was up by only 14,000 from the same time last year. That figure is not even 20% of the January stat of 86,000. But at least they saw some increase. The wholesale and retail sectors accounted for nearly 15% of all domestic employment. Those industries saw more than 100,000 of their new workforce shrink. More than 140 thousand people took leave or temporarily closed shop. This is the biggest spike in 10 years.

[Soundbite] EUN SUN-HYEON(STATISTICS KOREA) : "The hiring slowdown in the restaurant and lodging businesses and 142,000 temporarily jobless people in February are due to COVID-19."

However, the virus jacked up demand for online shopping and food delivery service, eventually boosting employment in the transport and storage sector by nearly 100 thousand. Unfortunately, the real challenge lays ahead. This employment trend study was conducted between February 9th and the 15th, before the virus began to spread rapidly in South Korea. That means for March, the stats are going to be much worse. Deputy Prime Minister of Economy Hong Nam-ki said the effects of COVID-19 have already begun to manifest in some service businesses and there will be greater employment downward risks this month.