[COVID-19 Transformation] Expanding IT Infrastructure and Revising Labor Laws Are Also Conditions for Success

Need for Innovative IT Infrastructure Such as 5G, AI, and Cloud
Social Discussion Required to Specify Remote Work Regulations in Labor Law

[Asia Economy Reporter Donghyun Choi] In corporate and labor sectors, there are calls for the expansion of IT infrastructure and amendments to labor laws to ensure the successful establishment of remote work. Except for some large corporations, many companies lack the capacity to invest in servers and security facilities for remote work, and there are no legal measures in place to protect remote workers.

Although Korea is recognized as a global IT powerhouse, the unprecedented long period of remote work due to the COVID-19 pandemic has exposed some vulnerabilities. While Korea prides itself on having the world's best internet and mobile penetration rates and communication speeds, it has been confirmed that the application and operation of these technologies in work environments are still at a beginner level.

The IT infrastructure necessary for remote work can be broadly divided into technical support that allows access to company databases from any location and security systems. Although it varies by company, remote workers typically connect to company groupware through Virtual Private Networks (VPNs) and exchange various data via work software that requires user authentication. Security systems play a role in defending against information leaks or hacking that may occur during this process. For remote work to be feasible, companies must invest in, maintain, and manage all these systems, but in reality, few companies can afford this. According to the Ministry of Science and ICT, as of last year, only about 120,000 businesses in Korea, approximately 3% of all companies, had adopted remote work.

The government has recognized these issues and decided last month to support the establishment of remote work infrastructure for small and medium-sized enterprises (SMEs). In addition to providing up to 20 million KRW for building remote work infrastructure, the government has secured free or discounted cooperation from remote work solution providers. However, many experts agree that more innovative IT infrastructure support measures are needed amid the rapidly changing IT environment, including 5G, artificial intelligence (AI), and cloud computing. Joo Woongdae, CEO of AtokBiz, a smart office solution company, said, "With the development of the IT industry and the use of cloud technology, SMEs struggling to build their own infrastructure can find effective alternatives. Although there are companies in Korea with excellent related technologies, many cases exist where they are not connected with demand companies. The government urgently needs to establish policies that can act as intermediaries."

It is also urgent to revise the legal system to reflect the new working environment. The German government is currently promoting legislation to include the "right to work from home" in labor laws. The Chilean government has also included provisions on remote work in its labor laws and began enforcement this month.

However, Korea still lacks legal provisions that specifically regulate remote work. Systems under the umbrella of flexible work arrangements, such as flexible working hours, selective working hours, working hours outside the workplace (business trips), and discretionary working hours, are currently subject to the Labor Standards Act. Remote work is also a type of flexible work arrangement and has been implemented occasionally in the past and regularly recently due to COVID-19, but related laws have not been established. The "Smart Work Promotion Act" was proposed in the National Assembly in 2012 but was never legislated. Since then, no social discussions have taken place.

Therefore, most companies follow regulations similar to the "working hours outside the workplace" system when implementing remote work. According to this, if there are no provisions on remote work in collective agreements or employment rules, the consent of workers must be obtained. Even in unavoidable cases such as the COVID-19 outbreak, implementation must be done after consultation with workers, but few companies are fully aware of these requirements.

Due to the lack of clear regulations, government ministries interpret the forms and types of remote work by applying them to other systems. For example, according to the recent remote work guidelines distributed by the Ministry of Government Legislation, if constant communication between workers and employers is possible via messenger or email, the calculation of working and rest hours is interpreted as the same as the usual working hours within the workplace. Conversely, if constant communication is impossible and it is difficult to distinguish between working and rest hours, the working hours outside the workplace system is applied. Additionally, if the remote worker's tasks fall under discretionary working hours (such as research and development of new technologies or products) and the worker has significant discretion, the discretionary working hours system can be applied.

Yoon Sungjun, director of the Korea Certified Labor Consultants Association, said, "Because regulations related to remote work are ambiguous, companies without well-established IT infrastructure linking attendance and work tend to face more difficulties related to working hours and payments." He added, "When introducing remote work-related laws in the future, it should be mandatory for employers to record and preserve workers' working hours to reduce many disputes."

This content was produced with the assistance of AI translation services.