President Park Geun-hye called Monday for a compromise on reforming South Korea's rigid labor market to create jobs for young people.

Labor and management should "make concessions and find a wise solution," Park said in a meeting with senior officials in Daegu, North Gyeongsang Province, noting time is running short for a deal.

Park has repeatedly called for efforts to revive South Korea's faltering economy and to reform the labor sector, warning that everybody would stand to lose unless labor reform is made.

Businesses and the government have called for greater flexibility in the hiring and firing of workers to cope with labor market duality -- the difference in pay and job security between regular and non-regular workers.

South Korea's labor unions have argued that more must be done to reduce the number of irregular workers instead of just striving to weaken the job security of regular workers.

"We should accomplish labor reform" to create decent jobs for young people, Park said.

The unemployment rate for people between the ages of 15 and 29 stood at 10.2 percent in June, compared with the overall jobless rate of 3.9 percent in the same period, according to government data. (Yonhap)