Magok Industrial Complex Deregulation: Broader Industry Access and On-Site Work for Partner Company Employees

Seoul Announces Three Major Deregulatory Measures for Businesses and Citizens
Magok Industrial Complex to Offer New Opportunities for a Wider Range of Companies
Joint Use of Research Facilities Approved, Supporting Collaborative Research
Streamlined Document Submission for Youth Savings Accounts and Faster Verification Process

The Seoul Metropolitan Government is expanding the types of businesses allowed to move into the Magok Industrial Complex. Previously, only research and development companies were permitted, but now, professional service firms will also be able to establish a presence in the complex. In addition, external personnel collaborating with tenant companies will be able to work on-site, which is expected to further increase cases of cross-industry collaboration.

On September 11, the Seoul Metropolitan Government announced three regulatory reforms: ▲expanding the range of permitted industries in the Magok Industrial Complex, ▲opening up research and development (R&D) facilities to promote joint research among companies, and ▲streamlining the document submission process for programs such as the Youth Savings Account. The city stated that these measures aim to bring about tangible changes for business growth and the local economy.

Panorama of Magok Industrial Complex. Seoul City

Currently, only companies in information technology (IT), biotechnology (BT), nanotechnology (NT), green technology (GT), and research and development (R&D) are allowed to move into the Magok Industrial Complex. However, as industries diversify and boundaries between sectors blur, there has been a consistent demand for the inclusion of companies with high collaboration needs, such as publishers and exhibition planning agencies. Although the law (Act on the Promotion of Industrial Clusters and Factory Establishment) allows for their admission, the basic management plan for the Magok General Industrial Complex had restricted entry in order to focus the complex on research and development.

In response, the Seoul Metropolitan Government has amended the basic management plan for the Magok General Industrial Complex to expand the range of permitted industries. With this deregulation, companies in publishing, video and audio production and distribution, exhibition, convention and event planning, and other professional service sectors can now move in. As a result, the Magok Industrial Complex is set to transform into a hub for an advanced industrial ecosystem where diverse industries converge. Moving forward, research companies and publishers will be able to jointly develop educational content within the complex, and exhibition companies and startups will have the opportunity to co-host technology fairs. The changes to the basic management plan for the Magok General Industrial Complex took effect immediately upon public notice on September 11.

The city will also allow external companies and institutions to jointly use research facilities within the Magok Industrial Complex. Previously, only research personnel affiliated with tenant companies could work in the complex. Now, employees from subsidiaries, partner companies, and external research institutions collaborating with tenant companies will be able to work on-site through a simplified process.

Given that collaboration, such as joint research with external companies and institutions, is essential in the field of research and development, the Seoul Metropolitan Government has eliminated these restrictions after gathering feedback from tenant companies. This deregulation is expected to make the management of research personnel more flexible for tenant companies and to improve research efficiency. In addition, joint utilization of research facilities will now be possible, further promoting collaboration between companies.

Furthermore, the Seoul Metropolitan Government has simplified the document submission process for its flagship asset-building support programs for young people, such as the "Hope Plus Youth Savings Account" and the "Irum Savings Account." Previously, applicants were required to submit various documents, such as the resident registration, national insurance certificate, and military service certificate, depending on their employment status, both at the time of application and at maturity for strict management. As a result, some applicants were disqualified due to missing documents, and staff had to spend excessive time individually verifying the paperwork of tens of thousands of applicants.

To address these unreasonable procedures, the city will link with the Ministry of the Interior and Safety's public MyData service to automatically receive three key documents (resident registration, health insurance qualification certificate, and military service certificate). The city plans to develop a separate system in September and fully implement it starting in October, gradually expanding the scope to include applications for public rental housing and other services.

Lee Changhyun, Director of Regulatory Innovation Planning for the Seoul Metropolitan Government, stated, "The Seoul Metropolitan Government will continue to pursue regulatory innovation on an ongoing basis to ease the burden on businesses and make daily life easier for citizens. We will boldly eliminate unnecessary regulations and rationally refine those that are essential, so that both citizens and businesses can truly feel that Seoul has changed."

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