Martial Arts "Working Hours Reform, Actual Working Hours Reduction... Specific Reform Plan Prepared"

Government Work Hours System Reform Plan on the 13th
Comment by Kim Byung-yu, Head of Member Services Division

Regarding the direction of the working hours system reform announced by the government on the 13th, the Korea International Trade Association (KITA) stated that it "will have the effect of reducing actual working hours." However, they mentioned that specific improvements to the reform plan are necessary.

Kim Byung-yu, Head of KITA's Member Services Division, said, "The working hours system reform direction announced by the government today is evaluated as laying the policy foundation to reduce actual working hours while securing productivity and transparency in the workplace."

KITA reported that South Korea's share of the global export market decreased from 3.23% in 2017 to 2.59% in the first half of this year, and 700,000 quality jobs have disappeared. They stated that since the implementation of the 52-hour workweek system (40 hours of statutory work, 12 hours of overtime), corporate productivity, export competitiveness have declined, and jobs have decreased.

Kim said, "Since the implementation of the 52-hour workweek system, our trade industry has been struggling to meet delivery volumes and deadlines," adding, "Due to insufficient income, employee 'two-job' practices are widespread, and corporate productivity is gradually deteriorating."

He continued, "Expanding the management unit for overtime work is an urgent task above all to restore corporate export competitiveness and, ultimately, jobs," and added, "We hope that a detailed working hours reform plan including this will be prepared promptly."

The government decided to apply the working hours reform, which expands the management unit for overtime work under the 52-hour system beyond the current 'one week,' only to certain industries and occupations. This is a reduction from the original plan in March to apply it to all industries and occupations.

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