SOUTH KOREA – South Korea's port city of Incheon is introducing employment subsidies of up to 6 million won per new worker to attract investment, encourage business expansion and support job creation amid slowing economic growth.

The metropolitan government said eligible foreign-invested companies and domestic firms relocating to Incheon can receive 1 million won per eligible employee each month for up to six months, as reported by The Korea Times.

The initiative is aimed at companies that have significantly expanded their workforce over the past year or moved their operations to the city, which is home to South Korea's main international airport.

To qualify, foreign-invested companies must have a foreign equity stake of at least 30 per cent and increase their number of full-time domestic employees by more than 20 in 2025 compared with the previous year.

Domestic companies relocating their headquarters, factories or research facilities from other regions to Incheon are also eligible, provided they hire more than 20 local residents.

City officials said the programme forms part of broader efforts to strengthen Incheon's economy and attract investment as it seeks to develop into a major biotechnology and logistics hub.

To prevent duplication of benefits, companies already receiving similar employment subsidies from South Korea's central government or other public institutions will not be eligible.

“These subsidies are designed to catalyse new corporate investment and drive job creation,” said Lee Sun-ho, director general of Incheon's Global City Bureau.

He added that the city would continue refining its regulatory framework to create a more business-friendly environment for both multinational and domestic companies.

Applications will open on Monday and close on August 3, with businesses able to submit documents in person, by email or through postal mail.