A public disagreement over labor policy emerged on August 6 as South Korea’s industry and labor ministers offered sharply different views on whether the country’s 52-hour workweek should be relaxed for companies operating in proposed high-tech industrial zones.
The debate centers on the government’s planned Mega Special Zone Act, which aims to attract investment in strategic industries including semiconductors, artificial intelligence and advanced manufacturing. One of the bill’s most closely watched provisions would allow companies in designated zones greater flexibility to exceed the standard workweek.
Industry Minister Kim Jeong-kwan argued that the current system risks limiting innovation by preventing highly skilled employees from working longer hours when projects demand it.
“The government shouldn’t prevent young people who want to work harder and build successful careers from doing so,” Kim said at a policy forum.
Kim framed the issue as one of global competitiveness, pointing to China’s technology sector as an example of increasingly intense competition.
Drawing on his experience in the private sector, he recalled visiting a technology company in Chongqing, where executives told him employees had rejected the well-known “996” schedule—working from 9 a.m. to 9 p.m., six days a week—because they believed it wasn’t demanding enough to keep pace with competitors. The company instead adopted shifts extending until midnight, he said.
“The level of competition inside China is extraordinary,” Kim said. “Many workers believe their own income depends on whether the company continues to grow.”
He said South Korea should revisit working-hour restrictions not only for research and development employees but also for startups and other technology-driven industries where project schedules are often unpredictable.
Labor Minister Kim Young-hoon has taken the opposite position, arguing that there is little evidence the current workweek cap has undermined the country’s industrial competitiveness.
Speaking to reporters on August 5, Kim noted that South Korea’s leading semiconductor manufacturers continue to post strong profits under existing labor rules.
“They’re already generating substantial profits without any exemption,” he said, arguing that the importance of relaxing the workweek has been overstated in the public debate.
Appearing on a YouTube program on August 6, the labor minister reiterated that proposals for a so-called white-collar exemption should be evaluated on measurable productivity gains rather than assumptions about international competition.
“We need to determine, based on evidence, whether such an exemption actually improves productivity,” he said.
Kim added that he believes the industry minister shares the broader goal of strengthening industrial competitiveness while protecting workers’ rights, suggesting the disagreement is over policy design rather than overall objectives.
The split highlights a broader debate within South Korea as policymakers seek to balance labor protections with growing pressure from technology companies that argue greater workplace flexibility is essential to compete with rivals in China and elsewhere.
