(LEAD) S. Korea's jobless rate rises to 3.5 pct in Dec

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SEOUL, Jan. 13 (Yonhap) -- South Korea's jobless rate rose in December as
employment conditions remained tight despite signs the economy is making a
faster-than-expected recovery, a government report showed Wednesday.
The jobless rate stood at 3.5 percent last month, up from 3.3 percent the
previous month, according to the report by Statistics Korea. The figure marks the
second consecutive rise after falling to an 11-month low of 3.2 percent in
October.
The number of employed people totaled 23.23 million last month, down 16,000 from
a year earlier. The on-year job shrinkage compared with a 1,000 decline recorded
in November, the report showed.
After being hit hard by the global recession last year, South Korea's economy has
been rebounding quickly from a steep downturn, with many indicators returning to
pre-crisis levels.
Industrial output is gaining ground, with exports rising and consumption also
showing signs of picking up, all of which are supporting the government's rosy
outlook for the economy this year.
The finance ministry predicted last month that the economy will grow 5 percent
this year after expanding 0.2 percent last year.
Job creation remains top priority for the government this year as stagnant
employment conditions could dampen a nascent recovery of domestic consumption.
Reflecting such concerns, the government has said it will provide temporary jobs
in the public sector this year and stick to other stimulus measures "for the time
being" to bolster the economy.
The December job data comes after the nation's central bank kept its key interest
rate at a record low of 2 percent for the 11th straight month last week.
kokobj@yna.co.kr
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