Not a single worker has been designated under a government program launched in 2023 to prevent the leak of advanced strategic technologies such as semiconductors overseas, data showed. The program has been left largely ineffective as companies avoid government designation over concerns including pushback from labor unions. With a string of technology leak cases emerging in advanced industries such as semiconductors and displays through employees moving to overseas employers, critics say an effective workforce protection system is needed.
According to data submitted by the Ministry of Trade, Industry and Energy to Rep. Koo Ja-keun of the People Power Party, a member of the National Assembly's Trade, Industry, Energy, SMEs and Startups Committee, there have been zero cases of designation as a specialized worker under the Act on Special Measures for Strengthening the Competitiveness of National High-Tech Strategic Industries as of October this year. In the data submitted to Koo, the ministry explained that the designation program allows designation only when a company applies, in consideration of concerns over infringement of constitutional rights such as workers' freedom to choose an occupation and the right to self-determination over personal information. It added that companies prefer self-management over specialized-worker designation, citing pushback from their own staff and unions and the burden of exposing information on core personnel.
The program was introduced to prevent technology leaks through core personnel handling national high-tech strategic technologies such as semiconductors. A total of 19 technologies across six fields — semiconductors, displays, secondary batteries, bio, robotics and the defense industry — are currently designated as national high-tech strategic technologies. If a company applies for designation of core personnel and wins government approval, it can sign contracts with the employee covering matters such as a period of restriction on moving to overseas competitors in the same industry, confidentiality, and the provision of information on reemployment after leaving the company. The company can also apply for the provision of the worker's immigration records if legal requirements are met.
Companies, however, are managing core personnel through their own security systems and non-compete agreements rather than applying to the government for specialized-worker designation. Some in industry say the government should strengthen institutional measures that keep core technical personnel in the country by offering sufficient compensation and incentives, rather than regulations restricting their job moves. The government is also reviewing changes to the program in light of the situation. An official at the trade ministry said the ministry will work with related agencies to find ways to improve the program within a scope that minimizes the potential for infringement of basic rights, and will also consult on arranging incentives for specialized workers.