Editorials
Government must break megazone deadlock with labor
The Lee Jae Myung administration must resolve workweek exemption talks to give semiconductor investors the certainty they need to move forward.
Yang Kyung-soo, chairman of the Korean Confederation of Trade Unions, speaks at a press conference outside the National Assembly in Yeouido, western Seoul, on Oct. 14, calling for the megaproject and megazone legislation to proceed without undermining labor rights, while urging measures to address inequality and polarization and strengthen public services.
NEWS1
The proposed Special Act on Designation and Operation of Mega-Regional Strategic Industry Special Zones for Local-Led Growth, intended to support President Lee Jae Myung's three major development projects, is facing delays amid opposition from organized labor. Korea's two largest labor federations oppose exemptions from the 52-hour workweek, a central provision.
Lee has suggested revising existing enforcement decrees or simplifying procedures, but unions remain opposed. Without a breakthrough, efforts to accelerate semiconductor investment could remain rhetoric. The government must reach a substantive conclusion at the sixth round of talks on labor exemptions scheduled for Wednesday.
On Tuesday, 134 labor and civic organizations, including the two major federations, demanded the bill's withdrawal. They argued that exemptions from the workweek limit, expanded flexible working arrangements, longer fixed-term contracts and eased restrictions on dispatched workers would undermine labor rights.
Concerns about workers' health and job security deserve attention. But demanding the entire bill's withdrawal without acknowledging the urgency of targeted exemptions is unconvincing. Protecting constitutionally guaranteed labor rights must not come at the expense of recognizing strategic industries' importance.
Speed and technological capabilities determine competitiveness in semiconductors. Taiwan, China, the United States and Japan are racing to develop next-generation chips. Korea cannot afford to waste time under rigid labor regulations while competitors advance. Once the semiconductor boom peaks and begins to decline, new investments could deliver considerably smaller returns.
For the three megaprojects to become reality, companies need the institutional and physical foundations to invest. Greater flexibility in working hours should be accompanied by safeguards guaranteeing sufficient rest.
The government must also stop wavering over major policies. Inadequate advance coordination forced it to postpone schedules or change positions on joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and conducting a nationwide farmland survey, eroding public confidence.
It similarly delayed decisions on new nuclear reactors by referring the issue to public deliberation. The megazone legislation must not follow the same path. Labor opposition cannot serve as an excuse for indefinitely postponing decisions.
The government should address legitimate concerns while establishing workable exemptions that preserve essential protections. International competition is intensifying, and investment opportunities will not remain open indefinitely. Companies planning large semiconductor facilities need predictability, not prolonged uncertainty over rules governing their operations. The stakes extend beyond individual companies to Korea's broader technological standing and its capacity to sustain future growth.
If the administration genuinely intends to protect people's livelihoods, it must accept responsibility for finding a way forward. Industrial ambitions mean little unless they are backed by timely decisions and the practical conditions necessary for investment.
This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
