Inclusive and Sustainable Well‑being in Korea

Executive summary

During its 30 years of OECD Membership, Korea has made important well-being gains: Koreans now live longer, are safer and are more educated than in most OECD countries

Since joining the OECD in 1996, Korea has experienced substantial progress across many dimensions of well-being. Life expectancy in Korea has risen dramatically and a newborn in 2022 could expect to live nearly 83 years, over eight years more than in 1996 and almost two years above the OECD average. Public safety levels are also high, with Korea maintaining the lowest homicide rate among OECD countries over the three decades, as well as achieving significant improvements in road safety (cutting road deaths by 80% since 1996). Educational attainment among younger Koreans is exceptional: 25‑34 year‑olds have the highest rates of secondary and tertiary completion in the OECD, and Korean students have consistently ranked among the top performers in international assessments of mathematics, reading and science.

Economic growth has brought significant improvements in material well-being alongside reduced inequalities

Material living standards have also improved substantially and while the average income of Korean households remains below the OECD average, the gap halved between 2004 and 2022. Further, average household wealth in Korea has been consistently higher than the OECD average since 2013. Income inequality (measured by the relative disparity between the income share received by the top income quintile compared with the bottom income quintile) has reduced significantly since 2011 and is now only slightly above the OECD average. Relative income poverty has also dropped consistently since 2011, halving the gap between the Korean average poverty rate and the OECD average. Korea has made notable progress in reducing child poverty – from well above the OECD average in 2011 to one of the lowest rates across OECD countries by 2022. Old-age poverty has also reduced in Korea (compared with an overall slight increase in the OECD average) although it remains high relative to most OECD countries, in part a legacy of Korea’s relatively recent and rapid socio‑economic transformation from subsistence to prosperity.

Sustaining well-being into the future requires protecting natural capital and strengthening social capital

Within the OECD Well-being Framework, the sustainability of well-being is underpinned by human, economic, natural, and social capital. While Korea performs well on several indicators related to human capital (education, skills, and health status) and economic capital (produced tangible assets and financial net wealth of government), several natural capital indicators show low performance in comparison with other OECD countries – for example per capita greenhouse gas emissions and carbon footprint are among the highest across OECD countries. Regarding social capital, trust in government is lower in Korea than the OECD average and has shown declining trends in recent years.

Three interconnected challenges highlight ways to further support inclusive and sustainable well-being

Examining Korea’s performance across the entirety of the OECD Well-being framework highlights three interconnected policy challenges meriting deeper attention. Already recognised as priority issues by the Korean Government, they have also been addressed in previous OECD work considering sectoral policy reform in areas such as education and skills, the labour market, and healthcare. Assessing the challenges from a well-being informed perspective highlights the value of cross-cutting, equity-focussed, people‑focussed, and long-term preventative approaches, and identifies further opportunities to support existing government efforts alongside sector-specific reform.

Supporting young adults to thrive in the transition from education to economic independence

Young Koreans face challenges across multiple fronts when making the transition from full-time education to work and adult life, and particularly in terms of their ability to access secure work that matches their skills and provides a wage to keep pace with high living costs. While young people face similar challenges across many OECD countries, the high share of young Koreans living with their parents (81% of 20‑29 year‑olds in 2020, compared with an OECD average of 50% in 2022) indicate the importance of supporting young Koreans to thrive in adulthood. Recent government efforts emphasise integrated policy packages addressing skills and employability alongside broader actions to support young people’s financial stability, access to housing, and civic engagement. More closely integrating mental health and social connectedness measures in youth support packages and expanding efforts to improve young people’s participation in political decision making could further strengthen government action.

Promoting good mental health and social connectedness across the life course

Korea has the highest rate of suicide in the OECD – a long-standing challenge compounded by a rising trend in child and adolescent suicide that runs counter to global patterns. Social isolation and loneliness are also prominent: only 61% of Korean men and 65% of Korean women aged 70 and over report having someone to count on in a time of need, compared with OECD averages of 89% and 87% respectively, and youth loneliness is also on the rise. The Korean Government’s existing efforts to prevent suicide and “lonely deaths” (where people die alone and are undiscovered for a period of time) could be complemented by broader measures to promote good mental health and social connectedness across the life course, including improving availability and accessibility of outpatient mental healthcare support for all ages, reducing stigma around mental health and loneliness, and implementing targeted prevention efforts for schoolchildren, job-seekers, workers, and the elderly.

Addressing social and structural factors in gender inequality

Despite significant progress in narrowing gender gaps, inequalities persist in employment, earnings and leadership. Gender-based violence (GBV) is also a serious concern: nearly 9% of Korean women aged 15 and over reported experiencing intimate partner violence in 2018, more than double the OECD average of 4%, and (as in many OECD countries) digital platforms are creating new forms of gender-based harassment and risk for women, men and children. The government has established a range of efforts that should be continued and expanded – including tools to mainstream gender in decision making (such as gender budgeting), comprehensive policy packages to support female labour force participation, and integrated person-centred response for survivors and victims of intimate partner violence and other forms of GBV. These could be supported through further measures to address workplace discrimination and combat limiting stereotypes – including through school- and community-based interventions to promote positive gender norms with girls and boys early in life when attitudes and behaviours are formed – alongside comprehensive GBV prevention measures including legal reform and public awareness-raising.