The strategic planning of a corporate welfare system for higher productivity: based on the case study of Korea telecom

Abstract

The policy about the corporate welfare in Korea, since the economic development plan started from 1960, was focused on stabilizing the employee's livelihood and permitting only a few percentage increase annually. However, the corporate sector experienced considerable expansion of welfare needs in the latter half of the 1980s, which consequently became a burden to the corporates. This paper is prepared for the proper handling of the welfare problem each of the Korean corporates faces these days. In preparing this paper, the Japanese "synthetic welfare plan for employee's lifetime" was very helpful and many of the terms and contents of the plan were cited for the purposes of analysis and adaptability to Korea. The welfare plan proposed herein is designed in details so as to satisfy each employee generation's welfare needs and to provide the management of the corporate with the ability to control the overall welfare cost. With this new plan, we believe Korea Telecom would enhance the productivity of its labor force at the reasonable cost.