How Korea's National Learning Card Expanded Access to Lifelong Learning

Following the global financial crisis of 2008, many countries strengthened active labor market policies and introduced new skills development initiatives to help workers adapt to changing economic conditions. International organizations such as the Organisation for Economic Co-operation and Development (OECD) have highlighted the importance of Individual Learning Schemes (ILS), which are designed to support continuous learning throughout an individual's career.

Several OECD countries have adopted different forms of individual learning schemes, including learning accounts, training vouchers, and lifelong learning credits. These programs aim to increase access to training while encouraging individuals to take greater responsibility for their own skills development.

In the Republic of Korea, vocational training has traditionally been supported through both employer-led and individual-led programs. Within this system, the Learning Card was introduced in 2010 as a Korean-style Individual Learning Account. Separate cards were initially provided for employed workers and job seekers, offering financial support for approved training programs.

As lifelong learning became increasingly important and labor market conditions changed, the government recognized the need for a more integrated and flexible approach to skills development.

Before the introduction of the National Learning Card, the Republic of Korea's training support system faced several challenges.

One challenge was the growing complexity of the labor market. The rise of nontraditional employment arrangements, platform work, and gig work made it increasingly difficult to clearly distinguish between employed and unemployed individuals. Maintaining separate learning card systems for these groups created administrative inefficiencies and limited flexibility in responding to changing employment circumstances.

Another challenge was unequal access to training opportunities. Employees of large companies often benefited from internal training programs and dedicated learning resources. In contrast, workers in small and medium-sized enterprises (SMEs) generally had fewer opportunities for vocational training and skills development.

The previous system also faced concerns regarding the selection of training courses. In some cases, insufficient training counseling led individuals to choose programs that were not aligned with their needs. There were also concerns that government support was not always reaching those who would benefit most from it.

At the same time, demand for lifelong learning was increasing across society. Individuals needed opportunities to continuously upgrade their skills in response to technological advancement, industrial transformation, and changing workforce requirements.

Launched in 2020, the National Learning Card integrated the separate employee and job seeker learning cards into a single program available regardless of employment status. The card is valid for 5 years and provides eligible individuals with up to KRW 3 million (approximately USD 2,200) in training support during that period. Additional support may be provided to vulnerable groups through a separate screening process.

The National Learning Card supports a wide range of vocational training programs, including general vocational education, high-tech and digital skills training, national strategic industry training, and specialized courses. Programs such as K-Digital Training have been introduced to help develop digital talent and respond to increasing demand for technology-related skills.

The system is primarily funded through the Employment Insurance Fund, which finances vocational skills development projects and other employment-related programs. To encourage responsible use of training subsidies and reduce the risk of overuse, most participants are required to contribute a portion of training costs through a co-payment system. Co-payment levels vary depending on factors such as employment outcomes associated with specific occupations and participant circumstances. In general, co-payments are lower for training linked to occupations with stronger employment prospects and may be waived entirely for selected strategic programs.

The National Learning Card also includes training allowances for eligible groups to help offset transportation and living costs associated with participation in longer training programs.

By placing training choices in the hands of individuals rather than providers, the system seeks to create a more demand-driven training market while encouraging training institutions to improve quality and responsiveness.

The National Learning Card has contributed to several positive outcomes.

First, the system has expanded access to vocational training by removing the distinction between employed and unemployed individuals. This has made it easier for people to pursue skills development throughout different stages of their careers.

Second, the integrated card has broadened participation among groups that were previously less well served by the training system, including some vulnerable workers, self-employed individuals, and those without employment insurance coverage.

Third, it has strengthened support for lifelong learning by allowing individuals to take greater responsibility for their own training decisions. The system enables learners to choose programs that match their personal and professional development needs.

Fourth, the card has encouraged training providers to improve quality by creating a more competitive and demand-driven training market. As learners can choose among providers, training institutions have stronger incentives to offer relevant and effective courses.

The system has also helped align training opportunities with changing labor market needs, particularly through support for digital skills and strategic industries.

Stable and sufficient funding is critical. The use of the Employment Insurance Fund has provided a relatively reliable financial foundation for the program. Equally important is strong government commitment, as lifelong learning initiatives require sustained policy support and long-term investment to achieve meaningful results.

Accessibility and flexibility should be central considerations in program design. Simplified procedures and broad eligibility criteria can help ensure that more individuals are able to participate in training opportunities. Korea's experience also suggests that eligibility may need to be expanded over time to reach a broader share of the workforce. The integration of the learning card system further enhanced flexibility by accommodating changing employment patterns and supporting a wider range of learners.

Expanding access must be accompanied by measures to ensure training quality and effectiveness. Robust quality assurance mechanisms, transparent information on training providers and courses, and appropriate guidance and counseling services can help learners make informed choices and achieve better outcomes.

KDI School of Public Policy and Management. 2024. National Learning Card: Individual Learning Account. Case Study Series on Korea’s Development Policy.