76% of Corporate Research Departments Say the 52-Hour Workweek Reduced R&D Performance

Decline in Innovation in New Product Development
Work Hour Regulations and Research Staff Shortages Have Negative Impact
69% of Companies Say "R&D Working Hours Should Be Autonomously Managed Through Labor-Management Agreements"

Five years after the introduction of the 52-hour workweek system, three out of four corporate research departments reported experiencing a decline in research and development (R&D) performance. In the R&D sector, there is a growing industry call for autonomous management through voluntary labor-management agreements rather than uniform application of working hours.

According to a survey conducted on June 16 by the Korea Chamber of Commerce and Industry and the Korea Industrial Technology Association targeting over 500 companies with R&D departments, 75.8% of respondent companies reported a decrease in R&D performance since the implementation of the 52-hour workweek. In contrast, only 24.2% said their performance had improved.

The areas of R&D where innovation declined the most were new product development (45.2%), followed by existing product improvement (34.6%), accumulation of research personnel capabilities (28.5%), and new process technology development (25.3%). Additionally, 53.5% of respondents said the R&D duration increased, with 69.8% reporting an increase of more than 10% in the required time.

Small and medium-sized food manufacturer Company A directly experienced the impact of the 52-hour workweek while developing a new product at the request of an overseas buyer. A company representative said, "The development experiments were interrupted midway, reducing concentration and causing disruptions in the production schedule. Ultimately, we had to extend the delivery deadline, which damaged trust with the buyer."

The shortage of R&D personnel is also at a critical level. 82.2% of surveyed companies reported a lack of R&D staff, citing low corporate recognition (58.9%) and high labor cost burdens (58.4%) as the main causes.

Biopharmaceutical Company B conducts long-term research involving material management and R&D tasks. While general researchers can utilize a selective working hours system, managerial-level employees are filling in the shortfall in working hours.

As a result, fatigue among managers is accumulating, leading to an increase in cases where they consider taking leave or resigning. A company representative explained, "If managerial personnel leave, it disrupts research progress and poses a high risk of some projects being halted. Given the pharmaceutical industry's need for long-term research, loss of personnel can directly impact corporate operations."

To address these issues, there is a growing need to operate R&D working hours more flexibly. According to the survey, 69.4% of companies identified autonomous management of R&D working hours through labor-management agreements as the most appropriate solution. Additionally, 32.5% supported allowing an 8-hour extension of working hours. However, only 37.8% of companies have adopted the currently implemented flexible working hours system, revealing limitations in its utilization.

Kim Jong-hoon, Executive Director of the Korea Industrial Technology Association, emphasized, "Active technological innovation is necessary to respond to changes in industrial structure, and especially to maintain competitiveness in core industries such as semiconductors, flexible working hours in the R&D sector are essential."

Lee Jong-myung, Head of Industrial Innovation at the Korea Chamber of Commerce and Industry, stated, "Since R&D work requires continuity and concentration, we need to consider operating the system more flexibly to secure global competitiveness. It is necessary to harmoniously adjust the original purpose of the 52-hour workweek system?to prevent long working hours for socially vulnerable groups?with the characteristics of R&D."