This is the second chance to debate the issues first discussed on 15 July. It will begin with an early August update on the Korean economy based on the 2nd quarter GDP released on July 27, and the trend in covid infections. After presenting this new material we will look at the three issues presented on July 15
The government is always changing its policies, but some challenge business and some change businesses. Our session on July 15th challenged the audience to think about three changes which will affect or are affecting most businesses in Korea.
1) Adjusting to the 52-hour week for companies and organisations with 5 – 49 employees
2) Getting to grips with the circular economy and carbon tax adjustments (with some policy updates since July 15)
3) Changing the shape of Seoul and the housing problem in Korea
The 52-hour week for companies with 5 to 49 employees came into law on July 1. 50-299 employees moved to this standard on January 1 2020. Many foreign companies and organizations fall within this size. This change has had different impacts depending on whether the company is a manufacturing or a service company. We hope to hear from members on how they have adapted implementation.
Getting to grips with the circular economy and carbon tax adjustments. MOEF’s economic policies announced on June 28 are to complete both circular economy and carbon tax schemes by the end of the year which affect most items of daily life. All of them are likely to slow retail and wholesale sales and affect everything from depreciation calculations to logistics from 2021 onwards. How do companies plan to adapt? Does leasing rather than selling make more sense?
Changing the shape of a city is not an easy task, but the GTX A line will start operation at the end of 2022 or early 23 and be joined by 3 other lines. This hi-speed subway system means a commute or intracity journey can be cut from an hour to 20 minutes. As it links the outer suburbs, it allows more residential property to be developed on the edges of the city. This may have considerable impact on business location, interaction and property prices. But other quicker fixes are needed to win the coming Presidential election.
Please join us on line on August 5 if you missed the first session to discuss how businesses coped with the 52 hour week and how they could adapt to a circular economy and the era of high speed subways. A new slide set will be sent to all members on August 4th.
Managing Director, KABC Ltd.