Women's Life Cycle and Participation in the Labor Market KWDI
kwwa  2002-10-28 14:56:44, 조회 : 416

Women's Life Cycle and Participation in the Labor Market : Current Situation Tasks / by Taehong Kim
/ KWDI Research Reports /Women's Studeis Forum, Vol.13/December 1997  
  
  

  
Ⅰ. INTRODUCTION

  According to  previous studies   on the factors  determining  the supply  of
women's labor,   women's participation   in the   labor market  tends  to  be
influenced by the  life events such  as marriage,  childbirth, and child  rearing
more so than men's participation does.

  In Korea, also, according to an analysis of the variables influencing women's
labor supply,  marriage and  child rearing  had negative  impact on  the labor
supply. According   to the   1996 Economically   Active Population   Yearbook
published, by the  Bureau of  Statistics, Korean  women's economic  activities
rates by age tend  to show a  typical M shaped curve.  From 13.6% of  those
between 15~19 years of age, it reaches  a peak of 66.0% between 20~24 years,
and starts decreasing afterwards, to  51.1% for 25~29 years of  age and 49.1%
for 30~34   years of  age.  After  35 years   of age  the  economic  activities
participation rate  starts increasing  again to  60.1% for  35~39 years  of age,
reaching the peak of  65.6% for 40~44 years  of age. Then  it decreases again
afterwards.

  However, the previous  studies and the  participation rates by  ages are not
enough to understand women's labor  supply patterns by life  events. In order
to accurately analyze this supply,  we need longitudinal data.  However, so far
in Korea the longitudinal  data which can  grasp women's economic  activities
structure by periods and  generations have not been  produced. As the second
best alternative, A Survey on Women's Employment, published  by the KWDI,
contains data on work history. This  study analyzes women's labor supply by
life events based on the KWDI's data.



Ⅱ.   THEORIES    ON   WOMEN'S   LIFE    CYCLE   LABOR    FORCE
PARTICIPATION

  The economic participation  rate is determined  by the  discrepancy between
the offered wage of labor market and the reservation wage which is the value
of domestic labor. For example, when we assume that the offered market wage
is W  and  the reservation  wage is  W ,  the economic  participation of the
individual is made when W  ] W  , that is, when the offered market  wage is
greater than the reservation wage.  More concretely, the factors that  influence
the economic  participation  of married  women  are those  factors  that have
impact on W  and W  , such as the incomes  of the spouse and other  family
members, the number of children,  and the presence or  absence of pre school
age children, level of education, and  age.1)J. P. Smith, ed., (1988),  pp. 90~118,
W. G. Bowen and  T. A. Finegan  (1969), pp. 88~158.  Other factors that also
have impact on  the economic  participation of  married women  are: previous
employment experiences,   promotion possibilities   and type   of employment,
government policies,  legal  and institutional   measures to  promote women's
employment,  the  attitudes  of  society  and  the  spouse  towards  women's
employment.

  When looking at women's economic  activities participation by women's  life
cycle,2)In an   analysis of   women's labor,  J.  Mincer  interpreted economic
activities participation  rate as   the proportion of   the time of  life  that the
individual participated in economic activities, using the term as a  synonym for
the working hours used by  the previous analysis of  labor supplies. However,
Lewis  and  Y.  Ben  Porath  distinguished  economic   participation rate   as
discontinuous choice at a certain point of  time as to whether to participate in
economic activities or  not. In  order to  consider the life  long labor  supplies
(economic activities participation rate) as a synonym for working hours, a few
assumptions are necessary, and the most important of these is that everyone is
employed once  in a   life time. In   other words, it  is  the assumption  that
everyone tries to maximize the effect of his or her life.
the reservation wage of married women,  which is the value of  the time they
spend at home, is different at each stages of life. As is  seen on Figure 1, the
level of  reservation wage  goes up  during childbirth  and child  rearing, and
decreases after the last child enters a school. In  comparison, the market wage
increases  continuously   as the   employment  continues.   Therefore women
participate in the labor market  done during the periods  when they are single
(b) and after child rearing  (c) when the market  offered wage is higher  than
reservation wage. Lifelong labor supplies  will be (b+c)/a in  [Figure 1]. When
women exit  the labor  market at  childbirth, the  market  offered wage  after
childbirth will show a much lower level than in [Figure 1] and as a result the
time of reemployment  will be much  later than the  time of  completing child
rearing.

  Based on   such a   model, the  policies  that  support women's   economic
activities through different stages  of life can be  divided into two kinds.  The
first is to reduce the burden of child rearing and domestic work and to restrict
the increase of reservation wage during marriage,  childbirth and child rearing.
In other words, the reservation wage  level during `d' period on  [Figure 1] is
shifted down so  that women  will be induced  to stay  employed rather than
exiting during marriage, childbirth and child rearing. The second is to increase
the market  offered  wage for  the  women desiring   reemployment. In other
words, the human capital which had  been depreciated during staying home  is
recovered to the previous level through  vocational training and other methods
(policies to provide financial  assistance for the  vocational training of married
women and service to prepare  women for reemployment). Or  the government
can provide the firms with monetary incentives to encourage the reemployment
of married women, which  is another form  of policies to  increase the offered
wage level. Most European countries use the former method, while Japan uses
the latter.



Ⅲ. WOMEN'S LIFE CYCLE AND THEIR PARTICIPATION IN THE LABOR
MARKET

1. Life Events and Women's Economic Participation

  [Table 1] shows the changes in the economic participation of married women
at different stages of life, such as marriage, the birth of  the first child and of
the last  child and   their enrollment in  school,  based on  the raw   data on
women's employment history. (The average ages at  each life stage were 21.6
years for marriage, 24.7 years  for the birth of  the first child, and  29.5 years
for the birth of the last child).

  As is seen in [Table 1], the economic participation rate right before marriage
was 55.7%   which changed  after  marriage to   36.7%, showing  that  many
working women exit from the  labor market after marriage.3)According  to the
research methods to  survey employment  history utilized  by the  KWDI, the
terms "economic participation rate" and  "the number of the  employed" should
more accurately be termed "the rate of having jobs" and "the number of those
with jobs."

  When looking at the  employment history right  after marriage, right  before
the birth of the  first child, right  after the birth  of the first child,  and right
before the birth of the last child, there is not much difference in  the economic
participation rates. However, during the period between right after the birth  of
the last  child  and before  the  entrance into  primary  school, the  economic
participation rate  of married  women tends  to  increase rapidly.  It tends  to
increase a little after the school  enrollment of the last child. This  means that
most  working  women  exit   the labor   market  after  marriage  and  find
reemployment right after  the birth  of the  last child, and  that most  women
seeking reemployment tend to find  it before the school enrollment  of the last
child.

  Women's  employment  structure   also showed   considerable  changes  at
different stages of life. Right  before marriage, 64.6% of  the employed women
were wage earners. However, most of the female wage earners  (74.9%) exited
the labor  market right  after marriage.  In comparison,  as the  proportion of
women is   increased who  remained unemployed   before marriage  but  who
entered the labor market as unpaid family workers (42.8% of the unpaid family
workers before  marriage),  the unpaid  family  workers right   after marriage
increased rapidly to 67.1% of employed women.4)The discrepancy of 30 persons
in the number of the surveyed before marriage(2,463) and after marriage(2,493)
occurred because their ages at the  time of marriage were between  14~15 and
the survey on economic activities was not conducted before marriage but right
after marriage.

  The proportion of wage  earners is further decreased  after the birth  of the
first child from 25% right after marriage to 15% after childbirth, and further to
10% right after the birth of the  last child. The level is maintained afterwards  
throughout different life stages. Such a trend in the proportion of wage earners
by different  stages of  life  shows that  it is  difficult  for wage  earners to
continue employment after marriage,  to carry the dual  burden of employment
and childcare, and to find  reemployment as wage earners  once having exited
the labor market.

  When looking at  the proportion  of the temporary  employees among  wage
earners, the   proportion decreases   rapidly immediately   after marriage   but
gradually increases after marriage in the number  and proportion of the female
temporary employees. This shows  that there are some  opportunities open for
reemployment as temporary  employees. As to  the number  and proportion of
female employers and  self employed, they  tend to increase  through different
life stages. This is because employers  and the self employed can manage  the
burden of employment and child rearing and women accumulate enough capital
to start businesses as  they get older.  The number and  proportion of unpaid
family workers increase rapidly after marriage  and maintain a similar number
and proportion throughout different life stages.

[Table 1] Changes in Women's Employment Patterns through Life Stages
                                                           Unit : Persons, %
---------------------------------------------------------------------------
                           Marriage      First        Last      first child
                                      Childbirth   Childbirth   -enrollment
                       ------------- ------------ ------------ ------------
                        before/after before/after before/after before/after
---------------------------+-----------------------------------------------
Economic Activities Rate   |55.7/36.7   39.1/37.4    39.4/41.8    52.6/56.7
Total Number of Employees  |1,347/915    977/859      987/901      912/887
  Employer/self-employed   |  56/57       67/75       106/111      148/152
  Unpaid family workers    | 430/614     593/621      648/627      577/531
  Regular employees        | 774/194     255/103      156/69        55/63
  Temporary employees      | 114/50       62/60        77/94       132/141
Distribution by Work Status|100.0/100.0 100.0/100.0 100.0/100.0 100.0/100.0
  Employer/self-employed   | 4.1/6.2     6.9/8.7     10.7/12.3    16.2/17.1
  Unpaid family workers    |31.3/67.1   60.7/72.3    65.7/69.6    63.3/59.9
  Regular employees        |56.3/21.2   26.1/12.0    15.8/7.7      6.0/7.1
  Temporary employees      | 8.3/5.5     6.3/6.9      7.8/10.4    14.5/15.9
Average Age by Life Stages |  21.6세      24.7세       29.5세      35.5세
---------------------------+-----------------------------------------------
Note : Average age by life stages means  the average age of the surveyed by
life stages and  is different  from the average  of the  cohort who entered
each life stage in 1992.

  The above  statistics reveal  the following  facts  about women's  economic
activities by life  stages. First, most  employed women exit  the labor  market
after marriage, and there are  relatively few women who exit  due to the first
or last child birth. The period they  reenter the labor market after marriage is
between the birth of the last child and his entrance into an elementary school.
While in many other countries women exit of the  labor market with the birth
of the first child,  Korean women tend to  exit with marriage. This  is due to
various reasons  including the  explicit or  implicit practices  of retirement  at
marriage,  the  reservation  wage  level  which  increases  considerably  with
marriage because  of the  sexual division   of domestic work,  or the   market
offered  wage  which   is very   low  due   to direct   and  indirect   sexual
discrimination that makes  the value  of reservation wage  exceed the  market
offered wage level.

  Second, most of the regular employees  among female paid workers exit the
labor  market with marriage,  and even the  regular employees who remained
employed after marriage  mostly exit the  labor market with  the birth of  the
first child or the second child. Such regular female  employees do never return
to the labor  market as  regular employees  even after the  completion of  the
child rearing period.  This phenomenon requires further analysis as to whether
is due  to women's  preferences or  discrimination by  employers, but  a few
studies concluded that it is because of age discrimination by the employers.

  Third, the number of women who  enter the labor market after marriage  as
unpaid family workers  is increasing. Such  a phenomenon is  due to the  fact
that women tend  to help  small scale  self employed  businesses run  by the
husbands or engage in agricultural  labor after marriage. Also,  the number of
women who find reemployment as  temporary workers or new  employment is
continuously increasing. The  number of  women who  are self employed  and
employers is continuously increasing with age  regardless of the life events of
women.


2. Participation by Education and the Attitudes of the Spouse

  [Figure 2] shows women's participation in  the labor market at different life
stages  by  education.  According   to this   figure,  the  economic  activities
participation rate  of the  women with  elementary school  graduation or   less
continues to show  a high  level regardless  of marriage,  childbirth and child
rearing.

  However, a considerable number of junior high school graduates, high school,
and college graduates  exit the  labor market  after marriage.  As is  seen in
[Figure 2], the group  with the highest exit  rate after marriage ("the  number
exiting the   labor market  with  marriage/  the  number of   workers before
marriage"* 100) is high school graduates. Their economic activities participation
rate of 60.0% before marriage dropped to 19.0% right after marriage.

  In addition, timing for reemployment is relatively postponed, and they tend to
find reemployment during the  period between the  birth of the last  child and
the school enrollment of the last child.

  A considerable number of junior  high school graduates also  exits the labor
market with  marriage. However,  a  considerable number  of them  also  find
reemployment right after the birth of the last  child, and after the birth of the
last child the economic participation rate was 46.9% which is just a little short
of the level right before  marriage. Looking at the trends  of college graduates
to participate  in economic  activities in  different life  stages, the  rate drops
rapidly right  after marriage   and maintains that   level afterwards. In   other
words, college graduates show a lower exit rate, but  once having exited, they
tend not to return to the labor market again.

  [Figure 3] shows the tendency of  women to participate in the labor  market
according to   the attitudes  of  their husbands   towards women's  economic
activities. As is seen in  [Figure 3], most of  the women whose husbands  are
negative about women's  economic activities tend  to exit after  marriage. Not
only that, they show a lower rate of reemployment than those whose husbands
show positive or  neutral attitudes, and  they also tend  to find  reemployment
after the birth of the last child.

  In comparison,   the group  whose husbands   are positive  about women's
employment shows the lowest exit rate after marriage, and there is a tendency
for their economic  activities participation to  increase during the  birth of the
first child and the last child.  Such a phenomenon shows that the  attitudes of
the spouse have a  considerable impact on  the economic activities  of married
women in different stages of life, although it is  difficult to reach a conclusion
without controlling the personal variables of each group.


3. Characteristics of Women's Labor Supply by Life Events

  As was discussed above, most  women e.it the labor market  with marriage.
Therefore this study has reviewed the changes in women's economic activities
before and after marriage.

  In [Table 2], the proportion of women who participated in economic activities
before marriage was 55.6% (1,376 persons) of all the married women surveyed.
But with marriage  55.5% of them  (19.4% in terms  of economic participation
rate) exited the  labor market. On  the other hand,  a considerable  number of
women who were out of  labor market before marriage,  entered labor market.
They account for  20.7% of the  employed women  before marriage (11.5%  in
terms of economic activities participation rate). As a result, women's economic
activities participation rate dropped  drastically from 55.6%  before marriage to
36.2% after marriage.5)If there were no additional  inflow of women who were
out of labor market before  marriage, the economic activities  participation rate
would have dropped even more drastically to 24.7%.

[Table 2] Economic Activities after Marriage
                                                           Unit :%, persons
----------+---------------------+-------+---------------------+------------
          |        Employed     |Econo- |      Unemployed     |Non-
          +-------+-------+-----+mically+-------+-------+-----+Economically
          | Cont- |Reemp- |Other|Active | Cont- |Reemp- |Other|Active
          | inuous|loyment|     |Rate   | inuous|loyment|     |Rate
----------+-------+-------+-----+-------+-------+-------+-----+------------
Before    |   -   |   -   |  -  | 55.6  |   -   |   -   |  -  |   44.4
marriage  |       |       |     |       |       |       |     |
----------+-------+-------+-----+-------+-------+-------+-----+------------
         1|  24.7 |  0.0  |11.5 | 36.2  | 33.0  | 30.8  | 0.0 |   63.8
         2|  22.2 |  1.2  |12.4 | 35.9  | 31.9  | 29.0  | 3.2 |   64.1
         3|  21.0 |  3.5  |12.3 | 36.8  | 30.9  | 28.0  | 4.3 |   63.2
After    4|  21.0 |  5.5  |12.0 | 38.4  | 30.1  | 27.0  | 4.5 |   61.6
marriage 5|  20.8 |  6.9  |12.2 | 39.9  | 29.4  | 25.0  | 5.7 |   60.1
         6|  20.6 |  9.5  |12.7 | 42.8  | 28.6  | 22.9  | 5.6 |   57.2
         7|  20.9 | 11.5  |12.3 | 44.7  | 27.8  | 21.4  | 6.1 |   55.3
         8|  20.9 | 12.9  |12.5 | 46.3  | 27.5  | 19.4  | 6.9 |   53.7
         9|  21.5 | 14.9  |12.5 | 48.9  | 26.9  | 17.4  | 6.8 |   51.1
        10|  22.1 | 15.5  |13.0 | 50.6  | 26.5  | 15.9  | 7.0 |   49.4
----------+-------+-------+-----+-------+-------+-------+-----+------------

  From two years  after marriage, a  phenomenon appears  where the women
who had exited the  labor market with  marriage find reemployment.  In other
words, two years after marriage,  1.2% of all those surveyed  (3.4% of all the
employed women) find  reemployment. In  addition, some  of the women  who
remained out of labor market enter the labor market  anew. However, as some
of the continuously  employed women  exit the  labor market  even after two
years of marriage, and their number is larger than those finding reemployment
or new employment,  the total economic  participation rate  declines further to
35.9%. As  time  passes after  marriage,  the proportion   of the continuously
employed decreases continuously, but the degree of this  decrease is quite low.
It reaches the lowest level(20.6%) after si. years. Then starts increasing again,
which seems to be the result of an uncontrolled cohort effect.6)According to an
additional analysis, most  of the continuously  employed were unpaid  workers.
Accordingly, those employed in agriculture  and fisheries show a  high rate of
continuous employment. Most of the  employed of the previous  generation are
employed in agriculture and fisheries,  and after a certain point  the generation
effect is reflected in the statistics.

  Furthermore, The number of  the reemployed and  newly employed tends to
continuously increase.  However, with  the decrease  in the  proportion of  the
continuously employed, the proportion of those women who remain out of labor
market and those who exited the  labor market with marriage and  remain out
of labor market  also continuously  decreases. The  reason why the  economic
participation rate increases after a certain period of time after marriage despite
the  continued  decrease   of the   continuously  employed,  the  continuously
unemployed and those who quit  after marriage is that a  considerable number
of women  change their   economic activities patterns   by repeatedly exiting,
entering, and exiting again.

  Classifying the  women  according to  career  patterns after  five  years of
marriage, 33.0% of  all the  women were  consistently employed  (which is  a
concept encompassing continuously  employed and reemployed  in this article),
25.0% retired after marriage, 12.2% find employment after marriage, and 29.4%
remained consistently out of labor  market.7)There are many ways  to classify
women's career patterns. The classification used in this article is based on the
classification of the Japanese National Institute  of Employment and Vocational
Research (1988). The institute classified  among "the consistent employed type
who have  job not   only during the  period  between school  graduation  and
marriage but also  after marriage,"  "the retirement  after marriage  type who
have job   during the  period between   school graduation  and marriage   but
remains out of labor  market after marriage  up to the  point of survey," "the
employment after marriage  type who  have no job  before marriage  but find
employment  for   the first   time  after   marriage,"  and  "the   consistently
unemployed who have never been employed up the survey time." NIEVR(1988),
Women's Occupational Careers in Japan, pp. 16~17.

  The proportion of the consistently employed increases  considerably to 44.6%
in 10 years after leaving a job, due to the increase in reemployment. However,
when compared  with  Japan, the  proportion  of the   consistent employed is
relatively low, and that of the consistent unemployed is relatively high, but the
proportion of the employed after marriage is similar. In Japan the proportion of
women who exit  the labor  market after  marriage is  higher than  in Korea.
When looking at the Japanese data  by educational level, the proportion of  the
consistently unemployed was higher among the more highly  educated, and the
proportion of those who retire after marriage is higher  among the high school
graduates and junior college graduates than among college graduates or middle
school graduates. When compared with  Japan, in Korea the  proportion of the
continuously unemployed   women in   different stages   of life   is relatively
considerably high, while the proportion of the  women finding reemployment is
similar.

[Table 3] Comparison of  Women's Employment Experience Patterns  in Japan
and Korea                                                          unit: %
---------------------------+-----------------------------------------------
                           |        Korea(year after leaving job)
                           +---------------+---------------+---------------
                           |     1year     |     5year     |    10year
---------------------------+---------------+---------------+---------------
Consistent                 |     24.7      |     33.4      |     44.6
Retirement after marriage  |     30.8      |     25.0      |     15.9
Employed after marriage    |     11.5      |     12.2      |     13.0
Consistent unemployed      |     33.0      |     29.4      |      7.3
---------------------------+---------------+---------------+---------------

---------------------------+-----------------------------------------------
                           |              Japan(by education)
                           +-----------------------------------------------
                           |Total  Middle   High     Jr.College   College
                           |       School   School   Graduates    Graduates
---------------------------+-----------------------------------------------
Consistent employed        | 58.0   60.7     56.5      57.1         52.1
Retirement after marriage  | 21.3   15.3     24.7      31.8         20.8
Employed after marriage    | 13.3   17.5     11.5       5.9          8.3
Consistent unemployed      |  7.3    6.5      7.3       5.3         18.8
---------------------------+-----------------------------------------------
Source : Japan, NIEVR(1988), Women's Occupational Career in Japan.

  When looking at  the work  status of  women workers who  exit the  labor
market with marriage, 80.6% of the workers who exit are wage earners (70.0%
are regular employees and 10.2%  are temporary employees). When  looking at
the exit rate of female workers by  their work status, the highest is 72.1%  of
the temporary employees, 69.3% of regular employees, 50.0% of employers  and
the self employed, and 27.6%  of unpaid family workers.8)The  69.3% exit rate
of regular employees has policy implications in many aspects. For example, the
exit rate of 69.3% means that 70 women workers out of 100 exit, which means
very few are subject  to childcare leave.  It is easily confirmed  that the fund
size of the socialization of  childcare leave incentives and  maternity protection
will be a lot smaller than would be expected from cross section data.

  As was expected, the  exit rate was  the highest among the  wage workers
whose working hours and environments are relatively inflexible so as to  make
it difficult to carry the double burden of employment and domestic chores, and
who tend to  feel more  pressured to  retire voluntarily  or involuntarily  with
marriagd under the male centered business culture.

  As a result, when looking  at the employment structure  of the women who
continue to  work after   marriage by work   status, the proportion   of wage
earners was 64.3% before marriage but drops to 43.8% right after marriage. In
comparison, the proportion of the self employed increases from 31.7% to 51.6%.
In other words, when looking at the employment structure  of the continuously
employed, most of the  women who continue  to work after  marriage are the
self employed, and the proportion of the self employed continues to increase as
time passes.  In comparison,  the proportion  of the  wage workers  decreases
rapidly as time  passes after marriage,  and there are  very few female  wage
earners who retire at the retirement age.9)As more time passes after marriage,
there is an analytical limit as  the average age of the  surveyed increases and
the generation effects are not fully controlled.

[Table 4]  Employment Structure  of  Women before  and after   Marriage by
Occupational Status                                                 unit : %
---------------------------------------------------------------------------
                    Employer,    Unpaid     Regular     Temporary     Total
                    Self-        Family     Employee    Employee
                    Employed     Worker                
---------------------------------------------------------------------------
Exit rate             50.0        27.6        69.3         72.1       55.5
                Employment Structure by work Status
Before marriage        4.0        31.7        56.1          8.2      100.0
            
              1        4.6        51.6        38.7          5.1      100.0
              2        5.1        58.1        32.1          4.7      100.0
After leaving 3        5.1        62.8        27.8          4.3      100.0
job           4        4.3        65.7        25.8          4.1      100.0
              5        4.1        68.9        23.1          3.9      100.0
             10        3.2        76.5        17.0          3.2      100.0
---------------------------------------------------------------------------

  Looking at the changes  in the economic  activities by education,  the group
that shows  the highest   exit rate after  marriage  is high  school graduates
(75.2% of those employed before marriage exited after marriage).   The groups
with the  next highest  exit  rates are:  junior high  school  graduates 67.7%,
college graduates  55.0%, elementary   school graduates 36.8%,  and  illiterates
18.2%. The  elementary  school graduates   and illiterates are   mostly unpaid
family workers who can carry easily the dual burden of the  outside work and
the domestic chores, and cannot afford  not to work. Therefore, the  proportion
of the continuously employed is high among these groups even after marriage.
And among the  middle school graduates  and above where  the proportion of
wage workers is high, the continued employment rate of the  college graduates
tends to  be relatively  high. It  can be  speculated that  they stay  employed
because of  relatively high  wages  and good  working condition   as well as
serious professionalism, but further studies are required  to ascertain the exact
reasons why.

  Because of   such differences  in e.it   rate by  education, the   employment
structures by education  of female employees  before and  marriage were also
very different.   The proportion   of employed  high  school  graduate  female
workers was the  highest before marriage  as 32.4%,  but decreased to  18.0%
after marriage.  For middle  school graduates,  the proportion  decreased from
19.8% to 14.4%.  In comparison, the  proportion of  the illiterates and  primary
school graduates increased  and the  proportion of  the college graduates  also
increased a little.

[Table 5]  Employment Structure  of  Women before  and after   Marriage by
Education                                                           unit : %
----------------+----------------------------------------------------------
                |Illiterate  Elementary   Middle   High     College  Total
                |            School       School   School  
----------------+----------------------------------------------------------
Exit rate       |  18.2       36.8         67.7     75.2     55.0     55.5
Before marriage |  12.5       22.0         19.8     32.4     13.3    100.0
After marriage  |  23.0       31.2         14.4     18.0     13.4    100.0
----------------+----------------------------------------------------------

4. The Characteristics of Women Finding Reemployment

  The proportion of the reemployed  women who were employed while  single,
exited the labor  market after marriage,  and returned to  the labor market  is
22.2% of the  women employed  before marriage throughout  their life  stages.
Within five  years after  marriage, 6.8%  of those   employed before marriage
returned to the market, and 15.3% did within 10 years.

  Looking at the distribution of  women finding reemployment by  the time of
reemployment, about 30% return within five years after marriage, 68.6% within
10 years, and 87.2% within 15 years. This shows that  reemployment increases
gradually, but  by 15  years  after marriage  reemployment is   complete. The
reemployment of married  women occurs  rather slowly  when compared  with
Japan which  shows similar  life  stage employment  structures; 49.9%   found
reemployment within 5  years, 72.3% with  in 10 years,  and 87.9% within  15
years in Japan.

[Table 6] Distribution of Reemployed Women by the Time of Return
---------------------------------------------------------------------------
                               Years After Leaving Job

            2    3    4    5    6    7    8    9    10     11-15     16-30
---------------------------------------------------------------------------
            The proportion of the reemployed the employed before marriage
%          2.1  1.5  1.4  1.8  1.7  2.0  2.0  1.7   1.1     4.7      2.2
cumulated  2.1  3.6  5.0  6.8  8.5 10.5 12.5 14.2  15.3    20.0     22.2
The distribution of the reemployed by the time of reemployment
%          9.5  6.6  6.2  8.2  7.5  8.9  8.9  7.9   4.9     18.6    12.8
cumulated  9.5 16.1 22.3 30.5 38.0 46.9 55.8 63.7  68.6     87.2   100.0
---------------------------------------------------------------------------


Ⅳ. CONCLUSION

  According the analysis so  far, one of the  most important characteristics of
Korean women's economic activities through  different life stages is  their exit
from the labor  market due  to marriage and  childbirth. In  the Korean  labor
market where  the  firms practice   compensation and  personnel management
systems based  on seniority,  such  a discontinuity  in employment   makes it
difficult for  women to  advance into  higher posts,   resulting in the  vertical
occupational segregation between men  and women as well  as low wages.  In
addition, it  is  impossible for  the  companies to  get  returns for  the  costs
invested in the education and training of women workers and skill formation of
women workers also becomes difficult. This results in gender discrimination in
education and training  as well  as various kinds  of gender  discrimination in
employment  and  promotion.  As  a  result,  the  discontinuity  in   women's
employment  due  to  marriage  and  childbirth  becomes  a  reason  for  the
worsening of  women's employment  structure  and various  kinds of   gender
discrimination in the labor market.

  Therefore Korean   women's employment   policies should  be  first  of all
concentrated on eliminating  the factors  that cause  discontinuity in  women's
employment in each life stage. Efforts should be made  to promote the lifelong
continued employment of women. In other words, policies should be introduced
which lower the reservation wage curve during  the periods between marriage,
childbirth and   the completion   of childrearing(see  Figure  1),  so that   the
reservation wage level does not exceed the market offered wage level, in order
to induce the continued employment. Of course such policies should include not
only measures to decrease the reservation wage but also measures to eliminate
discriminatory institutions  and  practices such  as  retirement on  account  of
childbirth and child rearing. Secondly,  active assistance should be provided  to
develop the capacity and to promote the  employment of the women who seek
reemployment after having exited the labor  market due to marriage, childbirth
and child  rearing. This  means the  implementation of  policies which  induce
women's return to the labor market by  raising the market offered wage level
which remained at the level of  exit time or went even below  it; also policies
should be implemented  which facilitate women's  reemployment by upgrading
the employment service for women seeking reemployment.



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