One in three companies that introduced flexible work has not a single employee actually using it. The photo shows visitors at a 2019 baby fair looking at strollers. Yonhap News
It turned out that one in three companies that introduced flexible work has not a single employee actually using it. Parental leave likewise went unused at one in five companies even when there were eligible employees.
The Korean Peninsula Future Population Research Institute, a think tank specializing in demographics, released on the 9th the results of its "2026 Corporate Excellence in Responding to the Population Crisis" assessment ahead of Population Day on the 11th. The Institute evaluated 300 companies that had published sustainability reports (as of last April) on their level of response to the population crisis. It also analyzed actual usage at 2,000 companies that disclose parental leave data and 1,877 companies that disclose flexible work data.
The analysis found that of the 1,877 companies that had adopted flexible work, 657 (35%) had no actual users.
Parental leave showed a similar pattern. Only 341 of the 2,000 companies surveyed (17%) had all eligible employees use the program, whereas 441 companies (22%) had eligible employees but no one used it. The Institute noted, "A considerable number of companies are clustered at the two extremes of either not using the system at all or having everyone use it," adding, "That the same system is in place yet utilization varies so widely ultimately means organizational culture determines actual take-up."
Across companies, the average score was 51.1 out of 100. POSCO International ranked first overall (82.3 points), and KB Kookmin Bank, KB Kookmin Card, KT&G, and others again placed near the top, as they did last year. Among mid- and lower-tier firms with relatively smaller asset sizes, Lotte Chilsung Beverage, Samsung SDS, Kolmar BNH, and Hanmi Global also ranked within the top 20, indicating that managerial commitment matters more than company size.
Assessment results of companies' responses to the population crisis. Provided by the Korean Peninsula Future Population Research Institute
By industry, banking and insurance operated childbirth and childrearing support systems most actively and received the highest average score at 59.5. In contrast, transportation and warehousing ranked last with 44.5. The Institute analyzed that industry characteristics with a high share of on-site work influenced the results.
In detailed items, support for childbirth and childrearing such as maternity leave and parental leave scored relatively high at 64.5 and 64.1, respectively. By contrast, the spousal support area, including paternity leave for male spouses and mandatory parental leave, was the lowest at 21.4, indicating that systems supporting fathers' participation in childcare remain insufficient.
Companies with higher evaluation scores also showed higher actual utilization. An analysis of companies that disclosed business reports found that the average parental leave usage rate among the top 10% by score was 48.62%, about twice that of the bottom 10% (25.80%). For flexible work as well, companies in the top 33% by score had an average of 580.3 users per 1,000 employees, whereas lower-ranked companies had 272.4, a difference of more than twofold.
Lee In-Sil, head of the Korean Peninsula Future Population Research Institute, said, "If a system is introduced but the employees who need it cannot actually use it, it is meaningless," and added, "Because what young people who do not want to miss out on either work or family truly need is flexible work, the system must be able to function in workplaces in practice."
Top 20 companies overall. Provided by the Korean Peninsula Future Population Research Institute