Financial Sector Also on High Alert for COVID-19... Swift Steps Toward Level 3 Response (Comprehensive)

Financial Services Commission Holds Video Conference on Quarantine Response
Partitions and Barriers Installed in Call Centers and Others

On the 28th, citizens are waiting to get tested at the COVID-19 screening clinic in front of Nowon-gu Public Health Center in Seoul, where the government has extended the social distancing level 2 in the metropolitan area for another week. Photo by Mun Honam munonam@

[Asia Economy Reporters Hyojin Kim and Minyoung Kim] As the novel coronavirus infection (COVID-19) is spreading beyond the metropolitan area to various parts of the country, the financial sector is also on high alert for crisis response. With social distancing level 2 expected to be maintained for another week, financial companies are swiftly preparing response measures that comply with level 2 principles while keeping in mind a possible escalation to level 3.

On the 28th, according to financial authorities and the financial sector, the Financial Services Commission held a video conference from 2 p.m. with related financial institutions and representatives from sector-specific associations to discuss COVID-19 prevention and response measures.

A Financial Services Commission official stated, “We checked how financial institutions are currently implementing quarantine measures and urged strict compliance with government guidelines.” A financial sector official said, “We agreed once again to thoroughly disinfect the headquarters and branches of financial companies and to comply with government response guidelines.” The Financial Services Commission and others also shared a rough plan for response direction in case social distancing is raised to level 3 and will continue discussions to minimize any gaps in quarantine measures upon escalation.

Banks Responding as if Social Distancing is at Level 3

Major commercial banks are focusing on expanding the current dispersion of headquarters personnel if social distancing is raised to level 3 and are refining detailed guidelines. NH Nonghyup Bank currently has 20% of its entire headquarters staff working from home or dispersed to alternative workplaces. If level 3 is raised, they plan to increase this proportion to about 50%, a super-strong measure allowing only half of the headquarters staff to come to work.

Shinhan Bank also plans to expand the current 15% work-from-home and dispersed work ratio to 30% and has prepared a plan to ban all face-to-face contact activities. Currently, meetings, dinners, face-to-face workshops, customer events, and meetings with outsiders are all completely prohibited. KB Kookmin, Hana, and Woori Banks also plan to significantly increase the dispersion ratio of headquarters personnel, currently around 20%, if level 3 is raised.

Banks are also focusing on quarantine measures for call centers and branches vulnerable to COVID-19. Each bank’s call center is implementing dispersed work, and partitions have been installed at each workstation to minimize contact with other employees. At branches, partitions have been installed at each counter to prevent contact between customers and staff. Disinfection of ATM monitors, PIN pads, and intercoms is also conducted frequently.

Thorough Quarantine Measures in the Secondary Financial Sector

The secondary financial sector is also making every effort to respond to COVID-19. Since the 24th, Tongyang Life Insurance has instructed 50% of its entire workforce to work from home. Meritz Fire & Marine Insurance has continued its rotating work-from-home system that started in February. Samsung Fire & Marine Insurance and DB Insurance are also conducting rotating work-from-home, and KB Insurance operates staggered commuting hours at 8 a.m., 9 a.m., and 10 a.m. to reduce congestion.

Samsung Life Insurance is implementing dispersed work and work-from-home for pregnant employees. Fubon Hyundai Life Insurance, which had a confirmed COVID-19 case at its telemarketing center last week, is having half of its headquarters staff alternate working from home. The telemarketing center will suspend operations until the end of this month. Savings banks are also implementing dispersed and work-from-home systems and plan to minimize on-site staff and shift to a full work-from-home system for all employees if level 3 is raised.

If social distancing level 3 is implemented, the greatest restrictions are expected in branch operations. A financial sector official predicted, “If social distancing rises to level 3, customer service at branches will face significant restrictions.”

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