"200,000 Won in Vacation Support Led to 880,000 Won in Travel Spending"... 790,000 Workers Generate 283 Billion Won in Consumption

Multiplier Effect of Government and Corporate "Vacation Support Project" on Consumption
Project to Expand to 100,000 Participants This Year; Applications Open from the 30th

#Kim Jisoo (34), an employee at a small and medium-sized enterprise in Seoul, went on a domestic trip for the first time last summer through the "Worker Vacation Support Project." Although she initially felt burdened about taking time off, she decided to participate after learning that if she contributed 200,000 won, both the government and her company would each add 100,000 won. Kim said, "Thanks to this program, I was able to enjoy my trip in a more planned way, and it brought positive changes not only to my life satisfaction but also to my work efficiency."

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The Worker Vacation Support Project, which the government has implemented since 2018, is showing tangible results. The initiative is rapidly taking root in the workplace, as it aims to spread a culture of freely taking vacations, improve workers' work-life balance, and boost domestic tourism.

According to the Ministry of Culture, Sports and Tourism and the Korea Tourism Organization on January 29, the Worker Vacation Support Project has involved a cumulative total of 790,000 workers and 83,000 companies since its introduction, generating 283 billion won in travel spending. Both the number of participants and the scale of spending have increased each year, demonstrating the policy’s sustainability.

This project is structured so that both the government and companies jointly support employees’ domestic travel expenses. When a worker contributes 200,000 won, the company and the government each add 100,000 won, bringing the total to 400,000 won, which can then be used for domestic travel costs. A key feature is that it does not leave vacation usage solely up to individual choice but lowers the barrier to participation by adjusting the cost structure itself.

The Korea Tourism Organization’s “2023 Worker Vacation Support Project Survey” shows a clear consumption-inducing effect. During the period of participation, the average number of domestic tourism days was 4.5, and the average number of trips was 2.5, up by 0.2 days and 0.1 trips, respectively, from the previous year. The total average travel expenditure was 886,725 won, about 8.9 times the government subsidy. This indicates that the program is effectively encouraging private consumption beyond simply providing subsidies.

Both companies and workers have responded positively overall. Among participating companies, 91.4% reported an improvement in employee satisfaction, and 80.6% said corporate welfare had improved. The intention to participate again among workers was also high at 91.5%, showing that the program is creating a virtuous cycle of repeated participation rather than being a one-time support measure.

This year, the Ministry of Culture, Sports and Tourism and the Korea Tourism Organization plan to expand the program to 100,000 participants and will begin recruiting companies from January 30. Participating companies will receive additional points and recognition when applying for government certifications such as Leisure-Friendly Certification, Family-Friendly Certification, and Work-Life Balance Excellence. Companies selected as outstanding participants may also receive government awards and promotional support. Alongside recruitment, promotional events to boost consumption will be held. Targeting the Lunar New Year holiday, the Korea Tourism Organization will offer up to a 50% discount, capped at 50,000 won, on domestic travel products such as accommodation, transportation, and travel packages through the Vacation Shop, and will provide additional points to those participating in vacation planning surveys.

Park Bumseok, Director of the Tourism Welfare and Safety Center at the Korea Tourism Organization, said, "We will focus on improving workers’ access to domestic travel through products and promotions that reflect the latest travel trends."