Social enterprises led by South Korea’s regional governments created 8,600 jobs in 2016, while some 370 enterprises weaned off governmental support the same year, data showed Monday.

The number of people employed at social enterprises, supported by their regional governments, rose to 56,516 in 2016, an 18 percent rise compared to the previous year, data from the Employment Ministry showed Monday. 

(Herald DB)The North Gyeongsang Province was recognized for helping incubate more than 60 social enterprises and creating 800 jobs.

“The role of local governments is increasingly becoming vital in creating social enterprises suitable for respective local communities,” Labor Minister Lee Ki-kwon said.

The Ministry of Employment and Labor has carried out plans to encourage local governments to initiate and operate pilot social enterprises, which play the role of fighting poverty and enhancing the social service among local communities, and at the same time help the underprivileged to land a job. Out of 3,000 pilot enterprises established through the policy, 1,000 have managed to survive on their own after getting the certification from the Korea Social Enterprise Promotion Agency.

Since the policy went into effect in 2011, when less than 5,000 were employed at such enterprises, the number of the employed at social enterprises rose more than tenfold, 70 percent of which account for the underprivileged, according to the Labor Ministry.

By Son Ji-hyoung (consnow@heraldcorp.com)