As an exemplar of labor relations management in Asia, Korea’s unique labor-management council system provides important references for building harmonious labor relations. According to statistics from the Korean Ministry of Employment and Labor, as of 2024, 92% of large enterprises have established standardized labor-management councils, with high-performing companies experiencing a 65% lower rate of labor disputes compared to companies without councils. This system is not only a legal requirement but also an important tool for improving corporate governance and enhancing organizational competitiveness.

In the context of globalization, an increasing number of Chinese enterprises are choosing to invest and develop in Korea, making understanding and effectively operating labor-management councils a mandatory course in enterprise management. Based on numerous practical cases, this article systematically outlines the key operational points of Korean labor-management councils and provides actionable best practice recommendations aligned with enterprise needs, helping companies achieve sustainable development in Korea.

Overview of the Labor-Management Council System

1.1 Legal Foundation and Functional Positioning

The legal foundation of Korea’s labor-management council system originates from the Labor-Management Council Act established in 1980, which has undergone multiple revisions and improvements, with the latest 2024 version currently in effect. The law clearly stipulates that enterprises in Korea regularly employing 30 or more employees must establish labor-management councils. According to the latest statistics released by the Korean Ministry of Employment and Labor in 2024, 27,850 enterprises have established labor-management councils, achieving a coverage rate of 97.3%, with foreign-invested enterprises reaching 95.8%.

The core functional positioning of labor-management councils is to promote understanding and cooperation between labor and management through institutionalized consultation and communication mechanisms. Specifically, the council carries out three core functions: discussion and decision-making on consultation matters, communication and feedback on reporting matters, and joint promotion of participation matters. Consultation matters include productivity improvement and reward distribution, improvement of personnel and labor management systems, and enhancement of working conditions; reporting matters involve disclosure of important information such as business plans, financial status, and production plans; participation matters include vocational capability development plans and welfare facility management operations.

According to a 2024 survey report by the Korea Labor Institute, effectively operating labor-management councils play a significant role in enhancing enterprise competitiveness. Data shows that enterprises with standardized labor-management councils experience an average 23% increase in employee productivity, 47% reduction in labor disputes, and 31% decrease in employee turnover. This fully demonstrates that labor-management councils are not just a legal obligation but an important tool for improving corporate governance.

1.2 Organizational Structure Design

The organizational structure design of labor-management councils must follow the basic requirements of the Labor-Management Council Act while making reasonable arrangements based on enterprise realities. According to the latest regulations, councils should comprise 3-10 committee members each from labor and management sides, with equal numbers from both parties. Notably, the 2024 legal revision especially emphasizes gender ratio requirements, stipulating that neither gender should comprise less than 30% of committee members, marking an important initiative to promote gender equality participation.

In specific structural design, enterprises need to establish a three-tier organizational system. The highest decision-making level is the plenary committee meeting, composed of all labor and management representatives, responsible for major item consultation and decision-making; the executive level is the standing committee, typically comprising 2-3 representatives from each side, responsible for daily affairs coordination and resolution implementation; the support level includes specialized working groups and secretariat, responsible for specific affairs implementation and document management. A certain Korean large manufacturing enterprise effectively enhanced the professional operation level of its council by establishing five specialized working groups (including compensation and benefits, safety and health, capability development, welfare facilities, and labor environment improvement groups).

Particularly worth noting is that in 2024, the Korean Ministry of Labor added special requirements for foreign-invested enterprises, stipulating that labor-management councils in foreign enterprises must have at least one committee member proficient in foreign languages to ensure smooth cross-cultural communication. Meanwhile, it recommends establishing full-time secretary positions responsible for meeting preparation, document management, resolution tracking, and other specific work to ensure the council’s standardized and continuous operation.

1.3 Operating Mechanism Key Points

Effective operation of labor-management councils requires establishing sound working mechanisms. First is the meeting mechanism, with laws requiring councils to hold plenary meetings at least quarterly, though in practice many enterprises choose to increase meeting frequency. For example, a certain Korean service industry enterprise adopts a “1+2” model, holding one standing committee meeting monthly and two plenary meetings quarterly, greatly improving deliberation efficiency. The 2024 new regulations require holding extraordinary meetings for major business decisions or matters significantly affecting employee interests, with meeting notice periods not less than 7 days.

Second is the decision-making mechanism, where councils adopt the principle of consensus, requiring more than two-thirds approval from attending members for important matters to pass. Notably, the 2024 revised regulations especially emphasize voting rights equality, explicitly prohibiting unequal clauses such as “veto power.” To improve decision-making efficiency, a certain Korean electronics enterprise innovatively adopted a “tiered decision-making system,” categorizing topics into A/B/C levels according to importance and setting different decision procedures and passing standards for different levels.

Information transmission mechanism is key to ensuring smooth council operation. Regulations require enterprises to establish comprehensive information disclosure systems and regularly publish council operation status to employees. The 2024 new regulations further clarify the scope and methods of information disclosure, requiring timely publication of meeting minutes and resolution implementation status through digital channels such as enterprise intranets and employee apps. A certain Korean IT enterprise developed a dedicated “Labor-Management Council Information Platform,” achieving integrated management of information release, opinion collection, satisfaction surveys, and other functions.

Supervision and evaluation mechanism is also an indispensable important link. Enterprises need to establish evaluation systems for council operation effects and conduct regular assessments. The 2024 evaluation guidelines issued by the Korean Ministry of Labor suggest comprehensive assessment from dimensions including meeting efficiency, resolution implementation rate, employee satisfaction, and labor relations improvement. A certain Korean logistics enterprise effectively improved council operation quality by establishing a “quarterly assessment-annual summary” dual-layer evaluation system and linking evaluation results with committee member reappointment and recognition rewards.

Special attention should be paid to digital transformation trends. In the post-pandemic era, council operations increasingly rely on digital means. The 2024 regulatory revision explicitly allows holding council meetings through video conferencing and other online methods for the first time, while establishing corresponding procedural requirements and effectiveness recognition standards. A certain Korean financial enterprise’s “Smart Labor-Management Council System” achieved digitalization of the entire process including meeting management, document storage, resolution tracking, and satisfaction surveys, significantly improving council operational efficiency.

Council Establishment and Preparation

2.1 Establishment Process Planning

The establishment of labor-management councils is a systematic project requiring careful planning and step-by-step implementation. According to the “Labor-Management Council Establishment Guidance Manual” released by the Korean Ministry of Employment and Labor in 2024, enterprises should follow the basic principles of “plan first, implement later, focus on process, ensure quality.” Based on Korean enterprise practices, a complete establishment process typically takes 3-6 months and can be divided into three main phases: preparation, implementation, and operation.

The primary task of the preparation phase is forming a preparatory working group. Depending on enterprise size, the preparatory group is usually led by the human resources department, including relevant department heads from legal, finance, operations, and other areas, as well as employee representatives. A certain Korean manufacturing enterprise specially invited external experts with labor-management council operation experience as consultants during the preparation phase to provide professional guidance for establishment work. The preparatory group needs to develop detailed work plans, clearly defining time nodes, responsibility division, and quality standards.

The core work of the implementation phase is drafting council bylaws. The 2024 revised regulations detailed the required clauses for bylaws, including council organizational structure, committee member selection methods, meeting rules, and decision-making procedures. Notably, during bylaw drafting, it’s important to fully hear opinions from all parties. A certain Korean service industry enterprise collected over 500 suggestions through employee questionnaires and symposiums, effectively improving the scientific nature and operability of the bylaws.

The operation phase focuses on establishing supporting institutional systems. This includes committee election methods, meeting rules, information disclosure systems, and supervision and evaluation mechanisms. The 2024 new regulations especially emphasize digital requirements, recommending enterprises establish online operation platforms to achieve informatization and standardization of council management. A certain Korean technology enterprise’s “Labor-Management Council Management System” integrated functions including election voting, meeting management, document storage, and resolution tracking, significantly improving operational efficiency.

2.2 Representative Election Mechanism

The election of labor-management council representatives is a key link in establishment work. The 2024 revised regulations further detailed election procedure requirements, emphasizing that elections must follow the principles of “openness, fairness, and democracy.” According to Korea Labor Institute statistics, non-standard election procedures are a major cause of labor disputes, accounting for 35%. Therefore, enterprises must highly value election work standardization.

The selection of management representatives is relatively simple, usually designated by top management, but attention must be paid to balancing representativeness and expertise. A certain Korean logistics enterprise adopts a “fixed + rotation” model, with fixed representatives like general manager and HR head, while other management representatives rotate annually, ensuring both decision-making efficiency and expanding management participation. The 2024 new regulations especially emphasize that management representatives should include personnel with professional backgrounds in human resource management and financial management.

Labor representative elections require more stringent procedural guarantees. First is candidate qualification review; according to latest regulations, candidates must have worked in the enterprise for over one year with no major disciplinary records. Second is the nomination procedure, which can adopt self-nomination or recommendation methods but must obtain joint signatures from a certain number of employees. A certain Korean manufacturing enterprise stipulates that candidates need recommendations from over 20% of employees in their department, effectively avoiding arbitrariness.

Regarding election methods, the 2024 new regulations explicitly allow electronic voting systems for the first time. A certain Korean financial enterprise’s “Smart Election Platform” achieved full-process electronic management of candidate registration, policy statement release, online voting, and result counting, both improving participation rates and ensuring election fairness. Notably, enterprises must guarantee election confidentiality and strictly prohibit any form of intervention or manipulation.

2.3 Training and Capacity Building

Committee member training is foundational work ensuring effective council operation. According to 2024 Korean Ministry of Employment and Labor regulations, newly elected members must complete no less than 20 hours of professional training within 3 months of taking office. Training content mainly includes labor laws, negotiation skills, financial knowledge, and communication abilities. A certain Korean electronics enterprise developed a systematic training curriculum system, adopting a “online + offline” hybrid training model with good results.

Cross-cultural capacity building deserves special attention. For foreign-invested enterprises in Korea, cultural differences are often important factors affecting council operation effectiveness. A certain Chinese-invested enterprise specially offered “Korean Culture and Business Etiquette” training courses to help members better understand and adapt to Korean business culture and communication methods. The 2024 new regulations also require foreign-invested enterprises’ labor-management councils to have at least one professional translator, ensuring cross-cultural communication accuracy.

Capacity building is not limited to formal training but includes practical learning and experience exchange. A certain Korean service industry enterprise established a “mentoring system,” with experienced senior members guiding new members to accelerate their role adaptation and capacity improvement. Meanwhile, inter-enterprise exchange visits are also important learning channels. The Korean Ministry of Labor organizes excellent labor-management council experience exchange meetings annually, providing opportunities for enterprises to learn from benchmarks.

Digital capacity building is also receiving increasing attention. 2024 surveys show 85% of Korean enterprises have implemented or plan to implement council management digital transformation within the next year. This requires members to possess necessary digital skills, such as using online meeting systems and data analysis tools. A certain Korean IT enterprise specially developed “Digital Capacity Enhancement Courses” to help members adapt to new technology environments.

To ensure training effectiveness, enterprises need to establish scientific evaluation mechanisms. Evaluation content includes knowledge mastery level, practical application ability, and work performance improvement. A certain Korean manufacturing enterprise adopts a “knowledge test + case analysis + practical assessment” multi-dimensional evaluation method, linking evaluation results with committee member reappointment, effectively improving training quality. Meanwhile, regularly collecting training needs and timely updating training content ensures training relevance and practicality.

Meeting Operation Practices

3.1 Agenda Setting and Management

The effectiveness of labor-management council meetings largely depends on the scientific nature of agenda management. According to the “Labor-Management Council Operation Guidelines” released by the Korean Ministry of Employment and Labor in 2024, agenda management should follow the principles of “clear classification, highlighting priorities, and standardized procedures.” Practice shows that good agenda management can improve meeting efficiency by over 40% and significantly enhance decision-making quality.

Agenda collection is the first key link. Enterprises should establish multi-channel agenda collection mechanisms, including regular surveys, proposal systems, and suggestion boxes. A certain Korean manufacturing enterprise’s “Smart Proposal Platform” supports employees in submitting topic suggestions anytime, with the system automatically categorizing and organizing them, greatly improving agenda collection efficiency. The 2024 new regulations especially emphasize that for important topics involving employees’ vital interests, enterprises must set up rapid response channels to ensure timely handling.

Agenda classification and screening are key to improving meeting efficiency. Based on urgency and importance, topics can be divided into immediate handling, planned handling, and continuous attention categories. A certain Korean service industry enterprise uses a “2×2 matrix method,” classifying topics from impact scope and urgency dimensions to determine handling priorities. 2024 data shows enterprises adopting scientific classification methods average 35% higher labor-management council topic handling efficiency.

Agenda preparation work directly affects discussion quality. Before meetings, the secretariat needs to collect relevant data and materials, conducting research and analysis when necessary. A certain Korean electronics enterprise requires detailed background materials for each important topic, including current situation analysis, feasible solutions, and resource requirements. Especially for topics involving major decisions, professional feasibility analysis reports are required.

3.2 Communication Skills Enhancement

Effective communication is a core element for the successful operation of labor-management councils. According to a 2024 survey by the Korea Labor Institute, poor communication is the primary cause of low council effectiveness, accounting for 45% of cases. Therefore, improving communication skills is crucial for council members.

Meeting facilitation skills are the first priority to master. Facilitators need to control meeting pace and ensure discussions are both thorough and orderly. A Korean financial enterprise specifically compiled a “Meeting Facilitation Manual” that details specific techniques for topic introduction, discussion control, and opinion summarization. The 2024 new regulations particularly emphasize that when handling controversial issues, facilitators must maintain a neutral position and ensure all parties have adequate speaking opportunities.

Active listening is a key skill for improving communication effectiveness. Members need to learn to express attention and understanding through both verbal and non-verbal means. A Korean logistics company specifically set up “Active Listening Workshops” in member training, using role-playing and other methods to help members master listening skills. Research shows that members skilled in listening have a success rate in coordinating labor-management relations that is 30% higher than ordinary members.

Cross-departmental communication ability is also extremely important. Members often need to communicate with personnel from different departments and levels. A Korean IT company established a “Communication Liaison” system, setting up dedicated contact persons in various departments to assist members in collecting information and conveying resolutions. 2024 statistics show that companies with dedicated communication mechanisms improved their labor-management council resolution implementation efficiency by 42%.

3.3 Resolution Implementation Tracking

Effective implementation of resolutions is the ultimate standard for evaluating the effectiveness of labor-management council work. According to 2024 statistics from the Korean Ministry of Employment and Labor, companies with resolution implementation rates below 60% generally have lower labor-management relationship satisfaction. Therefore, establishing a scientific resolution tracking mechanism is crucial.

First is the requirement for resolution clarity. Each resolution should clearly specify the responsible party, completion deadline, quality standards, and required resources. A Korean manufacturing company developed a “Resolution Management Checklist” that records detailed requirements and progress for each resolution. The 2024 new regulations particularly emphasize that major resolutions must have detailed implementation plans that are discussed and approved by the council.

Second is the progress monitoring mechanism. The secretariat should establish a regular follow-up system to stay current with resolution implementation status. A Korean service industry company adopted a “weekly report, monthly summary” approach, requiring relevant departments to regularly report on resolution implementation progress. Especially for key resolutions, they established a dedicated supervision mechanism to ensure timely completion.

The effectiveness evaluation of resolution implementation cannot be ignored. Evaluation content should include completion quality, employee satisfaction, and actual benefits. A Korean electronics company developed a “Resolution Effect Evaluation System” that comprehensively assesses resolution implementation effects through data analysis and questionnaire surveys. 2024 data shows that companies conducting regular resolution effect evaluations improved their implementation rates by an average of 25%.

Notable is the application of digital means in resolution tracking. More Korean companies are starting to use professional resolution management systems to achieve online management throughout the resolution execution process. A “Smart Resolution Tracking Platform” developed by a Korean technology company can automatically remind of progress, warn of delays, and generate reports, greatly improving management efficiency.

Particularly important is establishing a resolution adjustment mechanism. When difficulties or changes occur during implementation, implementation plans should be adjusted promptly. A Korean logistics company established a “Resolution Optimization Process” that stipulates procedures for proposing, discussing, and approving adjustments to ensure resolutions can adapt to actual changes in circumstances. The 2024 new regulations clearly require that major resolution adjustments must be discussed and approved by the council.

Employee Participation Mechanism

4.1 Multi-level Participation Channels

Employee participation is the core principle of the labor-management council system. According to the latest statistics released by the Korean Ministry of Employment and Labor in 2024, companies with multi-level participation mechanisms have employee satisfaction rates averaging 38% higher than ordinary companies. Therefore, building a systematic and comprehensive participation channel system is significant for enhancing the practical effectiveness of labor-management councils.

Direct participation channels are a fundamental mechanism. Companies should establish convenient suggestion collection systems allowing employees to submit opinions and suggestions at any time. A “Smart Suggestion APP” developed by a Korean manufacturing company supports multiple formats for submitting suggestions including text, voice, and images, and includes a points reward mechanism, significantly increasing employee participation enthusiasm. 2024 data shows that companies using mobile suggestion systems saw average increases of 125% in employee proposals.

The departmental liaison system is an important intermediate-level participation mechanism. Companies can establish dedicated labor-management council liaisons in each department responsible for collecting and conveying department employees’ opinions and suggestions. A Korean service company implements a “Dual Liaison System” with both management and basic-level employee liaisons in each department, effectively improving the comprehensiveness and accuracy of information transmission. 2024 surveys show that companies implementing liaison systems improved their labor-management communication efficiency by 45%.

Special working groups are an important form of deep participation. For major issues, working groups comprising management, professionals, and employee representatives can be formed to conduct in-depth research and solution design. When promoting salary system reform, a Korean electronics company formed a 15-person special working group that completed solution design in three months, gaining widespread employee recognition.

4.2 Incentive and Feedback Systems

A scientific incentive mechanism is key to improving employee participation enthusiasm. According to 2024 research by the Korea Labor Institute, effective incentive measures can increase employee participation by over 50%. Therefore, companies need to establish diversified incentive systems to stimulate employees’ internal motivation for participation.

Material incentives are fundamental measures. Companies can establish special bonuses to reward employees who perform outstandingly in labor-management council work. A Korean financial company established a “Participation Contribution Award,” selecting outstanding department liaisons and actively contributing employees quarterly, with bonuses up to 30% of monthly salary. 2024 data shows that companies implementing special incentives saw average increases of 42% in employee participation.

Career development incentives have more long-term effects. Companies can link participation performance with career development opportunities, such as priority consideration for promotion and training opportunities. A Korean IT company included labor-management council-related work experience as an important reference indicator for management personnel selection, effectively improving employee participation enthusiasm. Meanwhile, active participants can be provided with special training and development opportunities.

Timely and effective feedback mechanisms are equally important. Companies should establish standardized suggestion handling processes to ensure each suggestion receives a timely response. A Korean logistics company implements a “48-hour Response System” requiring initial responses to employee suggestions within 48 hours, greatly enhancing employee participation enthusiasm. 2024 statistics show that companies with suggestion response rates exceeding 90% have significantly higher employee participation rates than industry averages.

4.3 Cultivation of Participation Culture

The formation of participation culture requires long-term accumulation and systematic cultivation. According to 2024 research by the Korea Enterprise Management Association, corporate culture is the most crucial factor affecting employee participation effectiveness. Therefore, companies need to use various methods to create an organizational atmosphere that encourages participation and supports innovation.

First is the exemplary role of management. Enterprise leadership should lead by example, actively participating in various labor-management council activities to demonstrate the importance of employee participation. The CEO of a Korean manufacturing company consistently participates in monthly basic-level employee forums, carefully listening to employee opinions, setting a good participation culture benchmark. 2024 surveys show that companies with high management participation have employee participation enthusiasm averaging 35% higher.

Education and training are important means of cultivating participation culture. Companies should incorporate participation awareness and skills training into employee training systems. A Korean service company developed a “Participation Capability Enhancement Course” helping employees master effective participation methods and techniques through case studies and role-playing. Particularly for new employees, training in labor-management council-related knowledge should be strengthened.

Creating a participatory atmosphere requires innovative methods. Companies can organize various activities to enhance interaction and understanding between labor and management. A Korean technology company holds an annual “Innovation Suggestion Festival” creating an active participation atmosphere through competitions, exhibitions, and sharing. 2024 practices show that companies regularly conducting participation activities have notably better labor-management relationship harmony than other companies.

Digital means play an increasingly important role in culture cultivation. Companies can use social media, enterprise apps, and other platforms to build convenient communication and interaction channels. A “Smart Participation Platform” developed by a Korean electronics company integrates functions such as suggestion submission, online discussion, and voting, greatly improving the convenience and interest of employee participation.

Displaying and promoting participation effects is also important. Companies should timely summarize and promote excellent participation cases to reinforce positive incentives. A Korean logistics company regularly produces “Participation Star” special reports through corporate publications and video channels, showcasing outstanding employee participation stories, effectively driving the formation of a participatory atmosphere. 2024 data shows that companies emphasizing participation culture promotion generally have higher employee participation and satisfaction rates.

Risk Prevention and Optimization

5.1 Dispute Prevention Mechanism

In the operation of labor-management councils, establishing dispute prevention mechanisms is crucial. According to 2024 statistics from the Korean Ministry of Employment and Labor, companies with comprehensive prevention mechanisms have 65% lower labor dispute rates than those without. Therefore, establishing a systematic prevention system is significant for maintaining stable labor-management relations.

The early warning system is the first line of defense in dispute prevention. Companies should establish multi-dimensional risk monitoring indicator systems, including key indicators such as employee satisfaction, complaint frequency, and turnover rate. A “Labor-Management Risk Early Warning System” developed by a Korean manufacturing company can timely identify potential labor-management conflicts through big data analysis and take early intervention measures. 2024 data shows that companies using intelligent early warning systems achieve an 85% success rate in preventing major labor-management disputes.

Smooth communication mechanisms are key to preventing disputes. Companies need to establish regular dialogue mechanisms ensuring timely exchange of opinions between labor and management. A Korean service company implements a “Three-level Communication System” comprising monthly department-level, quarterly branch-level, and semi-annual company-level dialogues, forming a complete communication network. Particularly before major decisions, thorough communication can effectively reduce dispute risks.

Establishing professional support systems is equally important. Companies can form support teams comprising legal advisors, human resource experts, and labor relations specialists to provide professional guidance for dispute prevention. An expert advisory team hired by a Korean electronics company regularly conducts labor relations diagnostic evaluations and provides improvement suggestions, effectively enhancing the professionalism of prevention work. 2024 practices show that companies with professional support teams have notably better labor relations management levels than others.

5.2 Crisis Management Process

Despite prevention mechanisms, crises may still occur, making scientific crisis management processes particularly important. According to 2024 research by the Korea Labor Institute, crisis management capability directly affects companies’ long-term development. Comprehensive crisis management processes can reduce crisis losses by over 70%.

Quick response mechanism is the primary component of crisis management. Companies should establish 24-hour response systems ensuring prompt activation of response procedures when crises occur. A “Crisis Response Center” established by a Korean financial company, staffed with full-time personnel working in shifts, achieves immediate processing of crisis information. 2024 data shows that companies with response times within 2 hours have significantly higher crisis management success rates than industry averages.

Hierarchical handling strategies can improve crisis management efficiency. Companies should develop different handling plans based on crisis nature and impact level. A Korean IT company uses a “Four-level Response Mechanism” categorizing crises into general, relatively important, important, and specially important levels, with corresponding handling resources and procedures for each level. This hierarchical handling method greatly improves resource utilization efficiency.

Standardization of follow-up work is equally important. After crisis resolution, systematic summarization of experience and lessons learned is needed to improve relevant systems. A “Post-crisis Assessment System” established by a Korean logistics company requires detailed analysis of each crisis management process and optimization of handling procedures accordingly. 2024 statistics show that companies regularly conducting post-crisis assessments demonstrate year-on-year improvements in crisis management capability.

5.3 Continuous Improvement Plans

Continuous improvement is an important guarantee for ensuring long-term effective operation of labor-management councils. According to 2024 research by the Korea Enterprise Management Association, continuous improvement capability is a core indicator for evaluating council effectiveness. Therefore, companies need to establish systematic improvement mechanisms to constantly enhance council operation levels.

Performance evaluation is the foundation of improvement work. Companies should establish scientific evaluation systems to regularly assess council operation effectiveness. A “Council Effectiveness Evaluation Model” developed by a Korean manufacturing company conducts comprehensive assessments from multiple dimensions including operational standardization, resolution execution, and employee satisfaction, providing clear direction for improvement work. 2024 data shows that companies regularly conducting performance evaluations improved their council operation efficiency by an average of 32%.

Innovation and optimization are core to improvement work. Companies should actively explore new work methods and tools to enhance council operational effectiveness. A “Smart Council” project implemented by a Korean service company significantly improved work efficiency by introducing innovative means such as AI-assisted decision-making and online collaboration platforms. Particularly in the post-pandemic era, digital transformation has become an important direction for improvement work.

Benchmark learning is an effective pathway to improvement. Companies can continuously perfect their operating mechanisms by benchmarking best practices of advanced enterprises. A “Benchmark Learning Mechanism” established by a Korean electronics company regularly organizes study and exchange activities to learn from and reference excellent companies’ experiences. 2024 practices show that companies actively conducting benchmark learning achieve notably better improvement results than those developing in isolation.

Institutional guarantee is important support for improvement work. Companies need to incorporate continuous improvement requirements into their institutional systems to ensure regularized improvement work. “Labor-Management Council Improvement Management Measures” formulated by a Korean technology company clearly stipulates the organizational structure, work processes, and assessment standards for improvement work, providing institutional guarantee for continuous improvement.

Resource input guarantee is equally important. Companies should provide necessary human and material support for improvement work. A “Council Optimization Special Fund” established by a Korean logistics company allocates fixed annual budgets for implementing improvement projects. 2024 statistics show that companies with improvement inputs meeting recommended standards achieve notably better labor relations improvement results than those with insufficient inputs.

In conclusion, through establishing comprehensive risk prevention systems and continuous improvement mechanisms, companies can constantly enhance labor-management council operation levels, providing strong support for building harmonious labor-management relations. This requires companies to continuously exert effort in institutional construction, resource input, and innovative optimization, ensuring labor-management councils truly become important platforms promoting enterprise development.

Conclusion

For Chinese companies planning to invest in or already operating in Korea, establishing efficient labor-management councils is not only a compliance requirement but also a strategic choice to enhance enterprise competitiveness. Data shows that well-operated labor-management councils can help companies reduce human resource management costs by 40%, improve employee satisfaction by 35%, and play a key role in crisis management. Through three years of systematic construction, a Chinese-invested manufacturing company in Korea has developed its labor-management council into an important enterprise governance platform, not only achieving zero labor disputes but also reducing employee turnover rate by 50%, fully demonstrating the practical value of this mechanism.

Against the backdrop of increasingly fierce competition in the Korean market, labor-management relationship management capability has become an important component of enterprise core competitiveness. Chinese companies should fully recognize the strategic value of labor-management councils and establish distinctive council operation models based on Korean legal requirements while considering their specific circumstances. Only in this way can they achieve lasting success in the Korean market and lay a solid foundation for sustainable enterprise development.