Korea Starts Talks on Labor Exemptions for Chip Mega Cluster

Labor, Business Groups and Ministries Held First Consultation on the 18th Working-Level Session Expected Soon to Open Full Dialogue

Society|
|
By Yang Jong-gonggm11@sedaily.com
||
Im Ki-geun (front row, from left), head of the Office for Government Policy Coordination; Kim Young-hoon, minister of employment and labor; Yang Kyung-soo, chairman of the Korean Confederation of Trade Unions; Kim Dong-myung, chairman of the Federation of Korean Trade Unions; and other attendees hold up slogans for a commemorative photo at the launch ceremony of the Public Service Workers Committee, held Nov. 18 at the annex of the Government Complex Seoul in Jongno-gu, Seoul. Yonhap News - Seoul Economic Daily Society News from South Korea
Im Ki-geun (front row, from left), head of the Office for Government Policy Coordination; Kim Young-hoon, minister of employment and labor; Yang Kyung-soo, chairman of the Korean Confederation of Trade Unions; Kim Dong-myung, chairman of the Federation of Korean Trade Unions; and other attendees hold up slogans for a commemorative photo at the launch ceremony of the Public Service Workers Committee, held Nov. 18 at the annex of the Government Complex Seoul in Jongno-gu, Seoul. Yonhap News

Labor groups, business groups and the government are accelerating social dialogue on labor exemption clauses to be included in a special law on a semiconductor mega cluster.

The three parties plan to hold a working-level consultation as early as this week bringing together participants in the dialogue, the Ministry of Employment and Labor said on the 21st. "We are coordinating a specific schedule with the participants," a ministry official said. "Full social dialogue will proceed after the working-level consultation."

The dialogue, initiated at the government's proposal, is moving quickly. The parties held their first preliminary consultation on the 18th, three days after the government formally proposed talks on the 15th. That meeting drew deputy-level officials from labor and business, including the Federation of Korean Trade Unions, the Korean Confederation of Trade Unions, the Korea Enterprises Federation and the Korea Chamber of Commerce and Industry. The government was represented by vice ministers from the Ministry of Employment and Labor, the Office for Government Policy Coordination, the Ministry of Economy and Finance and the Ministry of Trade, Industry and Energy, along with a standing member of the Economic, Social and Labor Council, the country's social dialogue body.

Once substantive discussions begin after the working-level consultation, however, considerable friction is expected between labor and management over the details of the exemptions. Business groups argue the exemptions are unavoidable to secure research and development competitiveness in the semiconductor industry. Labor groups oppose them, citing concerns over longer working hours and infringement of labor rights. Measures currently under discussion include a "white-collar exemption" that would exclude highly paid professionals from working-hour regulations and a two-year extension of the permitted employment period for fixed-term workers.

Original reporting by Yang Jong-gon for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

Watch · Seoul Economic Daily

More →
2:02
World News Day 2026 — Know the facts. Understand what matters. #ChooseTrustedJournalism

AI KEY

Preview
Korean Corporate Intelligence HubKOSPI · KOSDAQ · 12 sectors

A live, cap-weighted view of every KOSPI and KOSDAQ sector, with same-day Korean reporting distilled by company — built for foreign investors, correspondents and analysts who need to scan Korea before the next session.

Korea Company Atlas

Preview
Market Ontology · The Feedback LoopKFTC 2025 · 92 groups · 121,954 articles

An English ontology of the Korean market — how companies, the media, the government and the National Assembly move each other in a loop. Korea's named controlling persons and designated business groups are a mechanism, not a risk to be priced blind.

SIGNAL

Now live
English Edition · Capital MarketsM&A · IPO · PE · Fund Flows

SIGNAL English Edition is live — Korea's deal desk reporting in English. M&A, IPOs, private equity and fund flows, covered daily for global institutional investors. Browse free; subscriber-only scoops at the 50% intro rate.