Support Funds for Flexible Remote Work System, Applications Increase 232 Times Due to COVID-19

84 People from Jan-May Last Year → 19,556 This Year
No Regulations for Remote and Telecommuting in Current Law
Assemblywoman Yang Kyung-sook Proposes Amendment to Labor Standards Act to Establish Legal Basis

[Sejong=Asia Economy Reporter Kim Hyunjung] This year, the number of applications for flexible work system subsidies has significantly increased following the outbreak of the novel coronavirus infection (COVID-19).

According to data submitted by the Ministry of Employment and Labor to Yang Kyung-sook, a member of the Democratic Party of Korea, as of May, applications for indirect labor cost support under the flexible work system were received from 4,642 workplaces covering 48,878 workers. Compared to the same period last year, when 857 workplaces applied for 5,749 workers, this represents an 8.5-fold increase in the number of workers applying.

In particular, applications for telecommuting subsidies among flexible work types surged to 19,556 workers (1,976 workplaces) by May, a 232.8-fold increase from 84 workers (46 workplaces) during the same period last year.

For selective work, there were 4,100 workers (251 workplaces) this year, 5.9 times the 692 workers (95 workplaces) last year; for staggered working hours, 24,716 workers (2,711 workplaces) this year, 5.2 times the 4,784 workers (725 workplaces) last year; and for remote work, 506 workers (81 workplaces) this year, 2.7 times the 189 workers (26 workplaces) last year.

Overall, applications for flexible work system subsidies have been increasing annually, from 1,064 workplaces and 9,907 workers in 2017, to 1,565 workplaces and 12,371 workers in 2018, and 1,654 workplaces and 12,580 workers last year. This year’s surge is attributed to COVID-19.

The flexible work system indirect labor cost support project provides partial government subsidies for labor costs to small and medium-sized enterprises that have introduced telecommuting, remote work, staggered working hours, or selective work. Depending on the number of flexible work uses per week, up to 5.2 million KRW per worker annually is supported.

Although applications for related subsidies are increasing, the current Labor Standards Act only includes provisions for flexible working hours such as the selective working hours system, and lacks regulations for flexible work locations like telecommuting or remote work.

Accordingly, on the 26th, Representative Yang Kyung-sook proposed an amendment to the Labor Standards Act to establish legal grounds for telecommuting, where workers work from home, and remote work, where workers use information and communication devices without a fixed workplace.

Representative Yang stated, "Due to the impact of COVID-19, telecommuting and remote work are increasing, and with industrial diversification and the development of information and communication technology, various jobs and work forms are emerging. Therefore, discussions and legal grounds for flexible work locations are necessary."

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