The Lee Jae-myung government is actively promoting a 4.5-day workweek as a key labor pledge. Recently, construction companies have expressed concerns about additional labor costs amid rising construction expenses and economic downturn.

The scene of an apartment construction site in Seongbuk-gu, Seoul. /Courtesy of Yonhap News Agency

According to the political and labor sectors on the 28th, President Lee Jae-myung pledged to reduce the current 5-day workweek to 4.5 days during his presidential campaign. The Ministry of Employment and Labor reported this plan at a meeting of the Presidential Committee on Policy Planning on the 19th.

The Ministry of Employment and Labor is reportedly reviewing various methods to achieve the 4.5-day workweek. In the second half of this year, it plans to create a "Shortened Actual Working Hours Support Law" and allocate a total of 83.5 billion won over four years to provide tax incentives for corporations that reduce working hours, thereby gradually increasing the number of corporations adopting the 4.5-day workweek.

Under current law, the legal working hours for workers are set at 40 hours per week, with the possibility of 12 hours of overtime, which allows for a total of 52 hours per week. The plan is to reduce this by 4 hours, reforming it into a 48-hour workweek.

However, given the characteristics of construction sites where deadlines must be met, there are concerns that reduced working hours could lead to a sharp increase in expenditures such as overtime pay. While extending deadlines is an option, it is difficult to negotiate with clients and others, which could ultimately lead to increased construction costs.

A representative from a major construction company noted, "While this is a welcome development for office workers at headquarters, construction site workers often work 6 days a week. Even if the 4.5-day workweek is applied, it is practically impossible to implement at the site, and additional labor costs for overtime pay and substitute holidays are unavoidable."

Another construction company representative stated, "Due to the economic downturn and rising construction costs, revenue has decreased, and unsold inventory has led to poor cash flow. In reality, it will be difficult to maintain a 4.5-day workweek on-site, resulting in additional labor costs being unavoidable. It is necessary to listen to the diverse voices of not only the construction industry but also other sectors."

Experts understand the intention behind labor reform but explain that conditions vary by industry, requiring careful consideration. Specifically, regarding the construction industry, they respond that if the 4.5-day workweek is to be pursued while pushing for expansion of SOC (social overhead capital) budgets to recover from recent stagnation, detailed policies are crucial.

Choi Eun-jung, a researcher at the Korea Construction Industry Research Institute, remarked, "Construction sites are outdoor industries subject to seasonal variables such as extreme heat or cold, and they have the uniqueness of needing to meet deadlines. Rather than enforcing a uniform approach, I believe we should flexibly introduce measures like allowing for flexible working hours as was done when the 5-day workweek was introduced, implementing it gradually."

Lee Eun-hyung, a researcher at the Korea Construction Policy Institute, said, "The method in which all employees leave early on Fridays, when general civil service tasks decrease, may be possible in other industries. However, in unpredictable industries like construction, where the workload is irregular regardless of the day of the week, the 4.5-day workweek could be burdensome for corporations. If private companies are forced to implement this without alternatives for reduced working hours, there could be backlash, making social discussion necessary before rushing to apply it."