Youth Employment Subsidy Type II (2025): A Win-Win Grant for Youth and Employers

💡 Key Message: Up to ₩1.2 million in benefits—see how Korea’s new Youth Job Incentive Type II works.

In 2025, the Korean government launched a new employment incentive called the Youth Employment Subsidy Type II. Unlike the previous version (Type I), this new program offers financial support not only to businesses but also directly to young employees. It specifically targets small and medium-sized manufacturing companies struggling to fill open positions and aims to promote youth employment and retention.

🎯 What Is Youth Employment Subsidy Type II?

Type II is a newly added category of the Korean Youth Job Incentive Program. Under this system, SMEs in manufacturing and labor-shortage industries that hire young adults (ages 15–34) and keep them employed full-time for at least 6 months will receive government grants.

Both the employer and the youth employee can receive funds: up to ₩7.2 million for companies and ₩4.8 million in milestone-based incentives for young workers.

✅ How Much Do Employers Receive?

Companies that hire eligible youth after January 1, 2025, and retain them for at least 6 months can apply for the full support amount: ₩7.2 million per youth employee over one year.

To qualify, companies must:

Be a registered SME (small/mid-sized manufacturer or similar)
Hire full-time workers aged 15–34
Retain employees for a minimum of 6 months

🧑‍💼 What Do Youth Employees Receive?

Youth workers who join a Type II registered company can receive up to ₩4.8 million in employment retention incentives, distributed as follows:

₩1.2 million after 6 months
₩1.2 million after 12 months
₩1.2 million after 18 months
₩1.2 million after 24 months

A minimum of 18 months' employment is required to receive the full amount.

⚠️ Important Notes for Application

To be eligible, the company must apply to join the program before hiring the youth. However, if a youth is hired first, the application must be submitted within 3 months of the hiring date.

Companies should act quickly to ensure more young employees qualify for this job grant in 2025.

📝 How to Apply

STEP 1: Visit the official Korean employment portal Work24 (www.work24.go.kr)

STEP 2: Companies must assign a local administrative center and apply online. Note: Applications are only accepted via PC.

📞 Need Help?

For more information, call 1350 (Korea Employment Hotline) or check the Work24 website for contact details of regional offices managing the subsidy.

Whether you're a business owner looking to grow or a job-seeking youth, the Youth Job Incentive Type II offers a smart way to build sustainable employment in Korea.