A Seoul construction company has come up with an innovative solution to address the country’s alarmingly low birth rate.
Who offers Rs 62 Lakhs to have children in South Korea?
The Booyoung Group proposes to compensate its employees 100 million Korean won ($75,000 or Rs 62,26,106) for each child they have. According to CNN, the corporation would pay seven billion Korean won ($5.25 million or Rs 43,58,27,437) in cash to employees who have given birth to 70 babies since 2021.
The bonus would be available to both male and female employees, the company announced.
What does the company have to say?
“I hope we will be recognized as a company that contributes to encouraging births and concerns about the country’s future,” Lee Joong-keun, chairman of Booyoung Group, said of the effort.
Joong-keun explained that the company’s goal was to alleviate the financial burden of raising children for its employees through direct financial support, and that staff with three children would have a special option to choose the benefit they wanted.
They can choose between receiving “300 million Korean won ($225,000 or Rs 1,86,78,318) in cash or rental housing if the government offers land for construction.”
Why is having children promoted in South Korea?
The company’s effort comes at a time when South Korea’s birth rates are dangerously low. South Korea has the lowest fertility rate in the world: 0.78 in 2022, and that figure is projected to fall to 0.65 in 2025, according to Statistics Korea.
South Korea’s birth rate has been declining since 2015. According to a grim estimate made in December 2023, the country’s birth rate could fall as low as 0.59 by 2026, resulting in population levels not seen since the 1970s.
While authorities expect the birth rate to gradually recover to 1.08 by 2072, this figure is still far below the threshold of 2.1 births per woman necessary for population stability in the absence of immigration. South Korea’s total population is projected to decline from 51.75 million in 2024 to 36.22 million, a figure last seen in 1977.
What do you think about this? Tell us in the comments.
For more trending stories, follow us on Telegram.