Business Community Views "Monthly Unit" Change of 52-Hour Workweek as a Positive Reform Direction

Future Labor Market Research Association, Reform Plan Unveiled

Minister of Employment and Labor Lee Jeong-sik and members of the Future Labor Market Research Committee are taking a commemorative photo at the kickoff meeting held last July at the Royal Hotel Seoul in Jung-gu, Seoul.
[Image source=Yonhap News]

[Asia Economy Reporter Kiho Sung] The business community has expressed a welcoming stance toward the plan to relax the 52-hour workweek standard from a weekly basis to a monthly basis. However, since discussions are still ongoing and detailed content has not yet been released, there is hope that a proposal capable of achieving social consensus will emerge.

According to related industries on the 18th, the Future Labor Market Research Association, a specialized organization drawing up the blueprint for the Yoon Seok-yeol administration's labor market reform, held a meeting and unveiled a plan to revise working hours. The plan announced by the association includes a measure to flexibilize the current extended work hour management unit of 52 hours per week to a minimum of a 'monthly unit' and up to a 'yearly unit.'

This expands the current management unit of 52 hours of extended work, which is managed on a 'one-week' basis. The association is discussing three options: 'monthly unit,' 'monthly, quarterly, semiannual units,' and 'monthly, quarterly, semiannual, yearly units.' For example, currently, one month is considered as four weeks, and extended work is regulated up to 52 hours per week. If changed to a monthly unit, the weekly calculation is removed, and one month is integrated with a limit set at '208 hours.'

The content revealed by the association is not significantly different from what President Yoon or Minister of Employment and Labor Lee Jeong-sik have mentioned so far. Kwon Soon-won, chair of the association and professor of business administration at Sookmyung Women's University, explained that providing various options is intended to "offer choices according to industry or job characteristics and economic fluctuations."

However, the association plans to prevent excessively long working hours by mandating a minimum 11-hour rest period between working days to avoid overwork during specific periods. Additionally, they announced plans to utilize a 'working hours savings account system' to compensate extended work with leave and to promote a culture of taking leave.

The business community is generally welcoming the association's revision plan. Hwang Yong-yeon, head of the Labor Policy Division at the Korea Employers Federation, evaluated, "Although specific proposals have not been released, the direction of the association's revision is positive."

Kim Yong-chun, employment policy team leader at the Federation of Korean Industries, said, "The current labor system is based on factory workers as the basic model from the past development era," adding, "As we enter the era of the Fourth Industrial Revolution, this will be the first step to updating the outdated Labor Standards Act to fit the times."

Regarding the contents opposed by labor groups, such as the 'mandatory 11-hour rest between working days,' the stance is that detailed discussions are necessary. Labor groups criticize the association's improvement direction, arguing that it could open the door to long working hours. They claim that even if the 'mandatory 11-hour rest between working days' is enforced, in extreme cases, up to 69 hours of work per week could be possible.

Director Hwang pointed out, "Since there are various working forms in each industry sector, mandating the 'mandatory 11-hour rest between working days' could undermine the purpose of the system."

Team leader Kim said, "Rather than mandating the 'mandatory 11-hour rest between working days,' flexible work should be possible if labor and management agree," adding, "I view the overall improvement direction of the association positively."

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