Companies with Well-Designed Parental Leave and Maternity Policies See 2.7x Increase in Average Revenue per Employee

Hanbando Future Population Research Institute Holds 4th Population Seminar
Analysis Results of Top 300 Domestic Companies with Assets Over 1 Trillion Won Announced
"Both Basic and Advanced Evaluations Fail"

A study has found that companies with well-developed parental leave and childbirth support policies see a 2.7-fold increase in average sales per employee.

On the 29th, Yoo Hye-jung, Director of the Research Center at the Korean Peninsula Future Population Institute, stated during the 4th Population 2.1 Seminar held at the Korea Press Center in Jung-gu, Seoul (titled "Grow Together with Children: A New Paradigm for Solving the Population Crisis, Population Management") that "an analysis of the top 300 domestic companies with assets exceeding 1 trillion won showed that companies practicing family-friendly population management saw average sales per employee increase from 3.33 billion won to a maximum of 8.98 billion won, a 2.7-fold rise."

The Korean Peninsula Future Population Institute analyzed these population management indicators for the top 300 companies. The indicators consist of four areas: 'Childbirth and Childcare Support,' 'Work-Family Balance Support,' 'Creating a Childbirth-Friendly Corporate Culture,' and 'Community Contribution.' There are 17 basic evaluation indicators (each scored out of 100) and 41 advanced evaluation indicators (each scored out of 100).

After calculating the indicators, the Institute found that the average score of the top 300 companies was only 55.6 out of 100 (based on the basic evaluation), diagnosing it as a 'failing level.' Specifically, the average score for the 'Work-Family Balance' area, related to overall working environment, was relatively high at 75.9 points, but the scores for 'Childbirth and Childcare Support' and 'Childbirth-Friendly Corporate Culture' were significantly lower at 52.0 and 53.4 points, respectively. The average score for the advanced evaluation indicators was 48.1 points, more than 10 points lower than the basic evaluation. This indicates that while policies are in place, employees are not properly utilizing them.

Director Yoo Hye-jung emphasized, "Companies should actively introduce various systems to secure flexibility in working hours and locations, such as staggered working hours, flexible work schedules, and telecommuting, to achieve a balance between work and life for their members." She added, "It is especially necessary to create an atmosphere where pregnant employees and those in childcare periods can use these benefits without feeling pressured."

Andrea Schneider, Employment and Social Affairs Counselor at the German Embassy in Korea, who gave the second presentation, stated, "Germany has recorded low birth rates for decades compared to the European Union (EU) and the Organisation for Economic Co-operation and Development (OECD). After reunification in 1990 (with a total fertility rate of 1.45 per woman), it took 24 years to reach or exceed this level again." She emphasized, "Germany introduced 'parental allowance' as income replacement, and above all, social transformation towards family-friendly workplaces and society was crucial."

Meanwhile, the Korean Peninsula Future Population Institute announced that it selected outstanding companies through its self-developed population management indicators.

The grand prize was awarded to Samsung Electro-Mechanics, which received the Minister of Employment and Labor Award. Based on evaluations of 17 indicators, it received the highest score. Samsung Electro-Mechanics supports childbirth and childcare beyond legal standards, allowing up to 10 months of pre-birth leave, 2 years of parental leave, and up to 15 days of paid paternity leave. It operates parking spaces exclusively for pregnant women and actively supports the development of female leaders. Excellent companies (awarded by the Chairman of the Korean Peninsula Future Population Institute) included Lotte Fine Chemical, Shinhan Card, KB Kookmin Card, and KT&G. Merck Korea and Organon Korea received the Minister of Health and Welfare Award, while Maeil Dairies, Samsung SDS, and POSCO International received the Minister of Gender Equality and Family Award.

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