Seniority Based Management Systems: Limitations on Early Retirement Program (ERP) of Korean Companies

Abstract

Early retirement program has been introduced to overstep limitations of long-term

employment practices in Korea and to allow more flexibility in the labor market. This

study examines the forced voluntarism targetting the senior white collar workforce

reduction efforts and identifies certain characteristics of the Korean early retirement

program (Em). Also the study concludes that management did not achieve the expected

results and workers experienced employment instability and identity crisis. As results, we

offer recommendations to improve the desired outcome of the Korean ERP.