Korean government to relax restrictions on employing skilled workers

[Photo by Han Joo-hyung]

South Korean companies will be able to hire up to 20 percent of the local workforce as skilled workers under a relaxed regulation announced by the government on Sunday.

The Ministry of Justice announced that it will reduce the required work period for foreign skilled workers to convert their residency status from the current five years to four years. It will improve the country’s system so that workers that are essential talent in the industry are categorized as skilled workers even if they have a short work experience.

It has also decided to allow companies to voluntarily hire up to 20 percent of the local workforce as skilled workers. Companies were allowed to employ up to 80,000 of skilled workers regardless of their business size.

For the second quarter, the government will expand the number of selected skilled workers to 3,000, up from the initially planned 625. It will select 5,000 skilled workers planned for this year ahead of schedule by July under the expansion.

“There has been a growing demand from the conglomerate circle and regional governments on the need for an eased system as there is a significant shortage in the number of skilled workers compared to industry demand and it is difficult to meet the conversion requirements,” said an unnamed official from the Justice Ministry.

The government’s move follows an earlier proposal by Maeil Business Newspaper that Korea should expand foreign visa conversion rate and the recruitment of skilled workers amid the shortage of skilled labor in the local industry.