Labor minister questions need for 52-hour workweek exceptions, vows reasonable alternatives

South Korean Labor Minister Kim Young-hoon has pushed back against calls for deregulation in the "Mega Special Zone Act," arguing that companies can succeed without exceptions to the 52-hour workweek. He suggested that the debate has become overly heated and lacks a basis in reality.

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If the exception clause for the 52-hour workweek is removed, it's as if (corporate management) can't function. It's difficult to have a healthy discussion because the debate is excessive. We need to look at how the field actually operates based on reality.

Kim highlighted that even with existing systems allowing R&D personnel to work up to 64 hours per week with special approval, companies are not extensively utilizing them. He cited SK Hynix as an example of a company that has not applied for such extensions, yet still achieves significant profits. This, he argued, indicates that additional deregulation might not be as crucial as claimed.

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Even though the special extended work system allows for long working hours for R&D personnel, similar to the 'white-collar exemption' system, companies are not applying for it. SK Hynix hasn't applied at all. Aren't they making huge profits without even using such systems?

"If the exception clause for the 52-hour workweek is removed, it's as if (corporate management) can't function," Kim said at a press conference, emphasizing the need for discussions grounded in actual operational realities. He also noted that the Semiconductor Special Act, which initially faced similar concerns about the 52-hour workweek, has not hindered companies' performance.

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Even when the Semiconductor Special Act was being drafted, there were claims that an exception clause for the 52-hour workweek was essential, but companies are doing well now. We need to have discussions based on reality.

Regarding other proposed changes in the Mega Special Zone Act, such as extending the use of fixed-term workers and expanding dispatch work, Kim acknowledged these as long-standing demands from businesses. However, he pledged to seek "reasonable alternatives based on facts." The ministry intends to discuss these matters with major labor unions, though no specific schedule has been set. Kim also mentioned plans to refine guidelines for the "Yellow Envelope Act" and "N% bonus pay" demands, aiming for balanced growth that considers both speed and direction.

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We cannot eliminate the gap in opinions regarding the extension of fixed-term contract periods and the expansion of dispatch-allowed industries included in the Mega Special Zone Act, as these are long-standing demands from businesses. We will find reasonable alternatives based on facts.