Should companies offer financial incentives to unmarried workers?
A heated debate is arising over the appropriateness of companies offering financial incentives to employees who have declared an intention not to get married.
The idea of the new employee welfare system was initiated in response to complaints that existing company benefits have been mostly focused on married employees, as many companies offer congratulatory money for marriages or child care support funds, among others.
However, skepticism is rising over whether it is appropriate to support those who remain unmarried at a time when the country is grappling with a historic low fertility rate, plunging to the unprecedented low level of just 0.65 births per woman.
According to industry sources Friday, one of the Hyundai Motor Group unions is planning to ask the company to implement a new system enabling employees who have declared an intention not to get married to receive financial support, leveling the playing field in terms of company benefits regardless of marital status.
The union’s initiative aims to address what it perceives as a disparity in the distribution of childbirth and child care benefits, which are currently available exclusively to married employees.
Company welfare benefits for unmarried employees have already been adopted by some companies.
In January last year, LG Uplus began providing unmarried employees with benefits equivalent to marriage support funds — 100 percent of the basic salary — in addition to five days of paid leave. Those who wish to receive these benefits must declare their intention not to get married on the firm’s bulletin board.
NH Investment & Securities has also offered unmarried employees 100 percent of their basic salary, while labor and management at SK Securities have agreed with a measure that will provide unmarried employees with a congratulatory 1 million won ($748) payment.
Proponents say such incentives are essential to adapt to changing societal norms and provide equitable treatment to all employees, irrespective of their marital status. They contend that these measures are necessary to attract and retain talent in an increasingly competitive job market.
On the other hand, critics are concerned about the potential societal implications of incentivizing those who remain unmarried. Some say that such measures could inadvertently reinforce the stigma surrounding marriage and family, exacerbating the already pressing issue of the low birthrate in the country.
“While the government encourages marriage and childbirth, companies are encouraging the idea of remaining unmarried,” an internet user commented on a related news story.
Another internet user said, “The government should show an example to companies that go against government policies, such as those giving subsidies to unmarried individuals, by conducting tax audits.”