Semiconductor Industry Must Not Get Lost in 52-Hour Workweek Debate

Semiconductors are a race against time, where speed translates to competitiveness. Simply developing technology is not enough; companies must deliver products when customers demand them and connect that to mass production to secure market share. In the age of artificial intelligence, the value of time has only increased as the pace of technological change accelerates.

The South Korean semiconductor industry now faces the contentious issue of the 52-hour workweek. The government is considering whether to include working hour exceptions for semiconductor research and development (R&D) personnel in its proposed mega-special zone law, leading to differing opinions between the Ministry of Trade, Industry and Energy and the Ministry of Employment and Labor.

Minister of Trade, Industry and Energy Kim Jeong-kwan emphasized, "The system should not forcibly block the willingness of young people to work," highlighting the need for improvements in working hour regulations. In contrast, Minister of Employment and Labor Kim Young-hoon pointed out that domestic semiconductor companies are already achieving high performance under the current system, suggesting that discussions about exceptions have become overheated.

While it is essential to protect workers' rights to health and rest, long working hours should not be disguised as a means to enhance industrial competitiveness. The current debate should not be a binary argument of whether to maintain or relax the 52-hour workweek. Instead, the focus should be on how South Korea can develop technology faster than its competitors and bring products to market more swiftly.

The urgency is heightened by China's rapid advancements. China's largest DRAM manufacturer, Changxin Memory Technologies (CXMT), has already climbed to the fourth position in the global DRAM market and is concentrating on next-generation technologies such as DDR5, LPDDR5X, and high-bandwidth memory (HBM). With substantial government support, aggressive capital investment, and a large workforce, China is quickly narrowing the technological gap with South Korea.

This is not a call to blindly adopt China's so-called "996" work culture, which promotes long hours. The key point is that competing nations are accelerating toward a common goal of securing industrial competitiveness through collaboration among government, businesses, and workforce. While South Korea engages in debates over working hours, competitors continue to advance their R&D and expand production facilities without pause.

The mega-special zone law being pursued by the government also hinges on speed. The Ministry of Trade, Industry and Energy plans to offer around 300 regulatory exceptions and financial and tax support as a package, aiming to streamline approvals and address challenges related to power, water, and investment. Discussions are also underway regarding working hour exceptions for R&D personnel and the expansion of flexible and selective working hours.

This does not mean a complete relaxation of the 52-hour workweek. It is possible to broaden options for R&D roles and high-income professionals or to manage overtime more flexibly while ensuring adequate rest and compensation. The government's role is to find solutions that reflect both the realities of the industrial sector and labor rights.

In the semiconductor industry, missed timing is difficult to recover financially. A delay of just a few months in technology development can push back customer certifications and mass production schedules, allowing competitors to seize market opportunities. Even with tens of trillions of won in financial support and the establishment of large clusters, if regulations hinder the ability to act swiftly when needed, the effectiveness will inevitably diminish.

Now is not the time for Samsung Electronics and SK Hynix to feel secure at the center of the AI memory boom. China's pursuit has already begun. The starting point of the debate should shift from whether to relax the 52-hour workweek to how to create an environment that allows for the fastest research and development in the world while protecting workers' rights. There is little time left to let the semiconductor golden hour slip away in the midst of the working hour debate.