"Having Meetings with a Sea View, Commuting in Sandals"

Distribution Industry Actively Expands Flexible Work Styles
Lotte Members Doubles Workation Employees to 45%
CJ Olive Young Allows Flexible Attendance and Eases Dress Code

Lotte Members employees participating in workation are working remotely at Sokcho Lotte Resort.

When you open your eyes in the morning, instead of the usual apartment view outside the window, you see the East Sea view. You draw the curtains, look at the sea, and turn on your laptop. Meetings are held via Zoom, and communication with team members is through Slack, so 'where I work' is not an issue. After work, you take a walk along the beach and enjoy local specialties for dinner. On weekends, you go hiking in Seoraksan.

As the COVID-19 situation passed, there have been significant changes in the way the distribution industry works. The industry, having realized through experiments with remote work during COVID that there is no need to stick to traditional working methods, is actively expanding the flexible working styles preferred by the MZ generation (Millennials + Generation Z) even in the endemic era (periodic outbreaks of infectious diseases). This strategy is used to attract talent by promoting it as a company strength while also aiming to reduce company costs.

A representative example is the introduction of the 'workation' system, a remote work program at vacation spots. It breaks away from the monotonous 'office-home' cycle in the city and creates an environment where employees can refresh their mood by working at vacation spots with mountains and seas, enabling better focus on work after returning.

According to the distribution industry on the 27th, Lotte Members, which started workation last year, is expanding it this year and receiving positive responses from employees. The locations have been expanded to Sokcho, Busan, and Jeju, and the period extended until September, implementing workation in seven sessions. The number of participants has doubled from about 60 last year to 112, accounting for about 45% of all employees. During this period, employees work from Monday to Thursday and have free time from Friday. The company stated, "Since a flexible working system is in place, employees can leave from 3:30 PM and use this time during workation to have their own time."

Hanwha Hotels & Resorts also supports workation applicants by providing one room for up to five days, round-trip transportation costs, and partial meal expenses, allowing them to work at their desired resort or hotel business site. The company said, "So far, about 100 employees have participated in workation, and 95% responded that their work concentration and efficiency were higher than during remote work." Workation products available to general customers are also gaining popularity year by year. The Hanwha Resort Jeju product saw usage rates more than double in 2022 compared to 2020.

Working hours are also becoming more flexible according to the nature of the work. CJ Olive Young recently fully implemented a flexible working hours system and a casual dress code. With an average employee age of 29, Olive Young is the youngest organization within CJ Group. Reflecting the demands of young employees, they introduced a flexible working hours system without mandatory 8-hour workdays, allowing employees to decide their working hours freely according to projects, schedules, or personal circumstances. The dress code was also relaxed from business casual to allow wearing hoodies, shorts, sandals, etc., depending on TPO (time, place, occasion) when coming to work.

Offices are also transforming into smart office formats where employees can move and work in different spaces rather than staying at the same desk or area. Shinsegae Food created a smart office work environment through a headquarters renewal over about two months starting in February. They operate a free seating system so employees can work wherever they want. Shinsegae Group has been implementing a 35-hour workweek since 2018, with working hours from 9 AM to 5 PM.

A distribution industry official said, "Even companies that adhered to traditional methods are changing their working styles after COVID-19," adding, "With a large proportion of MZ generation employees and many IT-related jobs that allow relatively free work, transitioning to flexible working styles has become an essential factor."