The Busan Metropolitan Government is launching "tangible welfare" support aimed at stemming the outflow of young workers from small and mid-sized enterprises (SMEs). The policy stands out for shifting its focus beyond simple leisure subsidies to life-oriented welfare that covers meal expenses and daily necessities.
Busan City and the Busan Economic Promotion Agency announced they will begin recruiting participants for the "Busan Youth Joy of Work Card" program starting June 6. The program was designed to narrow the welfare gap between large corporations and SMEs and to improve conditions for young people to settle in the region. Selected applicants receive a one-time lifetime benefit of 1 million won ($730) per year in welfare funds.
The subsidy can be used freely, both online and offline, across four categories: culture and leisure, self-development, health management, and daily living support. This year, a new "daily living support" category was added to the previous three, expanding eligible spending to everyday purchases at restaurants, grocery stores, convenience stores and cafes. The move reflects field-level demands that "even eating and drinking counts as welfare," aiming to boost the program's practical impact.
Behind the policy lies poor working conditions that drive young people to leave the city. Statistics show that "employment" is the top reason for youth population outflow from Busan, and young job seekers cite work-life balance as a key criterion on par with wages. Meanwhile, welfare benefits at local SMEs often remain at a basic level, limited to congratulatory and condolence payments or meal allowances, creating a significant perceived gap.
The city plans to offer selective welfare benefits to young workers through the program, strengthening incentives to settle in the region and improving perceptions of SME employment. Since 2020, the program has supported 7,933 people and recorded a job retention rate of 84.3% even after benefits ended. Starting last year, the city doubled the number of annual beneficiaries from 1,000 to 2,000.
Eligible applicants are young people aged 18 to 39 working at SMEs based in Busan. Those with a tenure of three months to less than two years and a monthly income of 3.847 million won or below can apply. Applications will be accepted through a dedicated website until June 24. Final recipients will be selected through qualification screening and a lottery. The first round of subsidies is scheduled for disbursement in June.
"We will expand welfare that young people can actually feel, building a foundation for them to stay in the region," a city official said. "We plan to simultaneously strengthen both axes — improving SME working conditions and stabilizing youth employment."