Five-day Workweek Clause a Declaration

Prime Minister Goh Kun said on September 1 that the supplementary clause of the Labor Standard Act, which states that real income should not be decreased due to a five-day workweek, is an instructional clause.

After addressing the public on the issue of introducing a five-day workweek system, Goh gave the above answer when asked by the press whether the clause was mandatory or declaratory.

After being questioned whether he would lead the administration on the basis of the declaratory clause when wages of the workers actually do drop, the prime minister answered that the focus of the administration is to maintain the current wage levels and to improve vacation systems according to the revised labor law. However, with the legislature`s refutation of the government`s interpretation concerning the “declaratory clause that is not legally binding,” the controversy is expected to last for a while.

The Ministry of Labor announced on September 1 that it would prepare a succeeding measure for the five-day workweek system by the latter half of this year, thereby allowing more workers to receive support money when seeking private tutoring. Currently, workers over fifty and those in workplaces with less than fifty employees are eligible for the support. The new measure, however, will allow workers over forty and those in workplaces with less than 150 employees to benefit as well. One million won will be provided to each individual, and for small companies with less than fifty employees, support for training will rise from 1.5 million won to 2.5 million won per workplace. On top of this, the ministry has proposed that vocational training television programs be broadcasted on weekends.

Furthermore, the Labor Ministry has decided to provide assistance to all small and mid-sized companies that reduce the number of work hours at early stages, including labor, consulting and educational training costs that are incurred when recruiting new employees by setting aside 47.2 billion won from next year`s budget and employment insurance fund.