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The 87 Labor Relations Regime in Korea: Problems and Solutions
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87 노사관계체제: 평가와 미래

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Type
Academic journal
Author
Journal
한국질서경제학회 질서경제저널 질서경제저널 제23권 제1호 KCI Accredited Journals
Published
2020.1
Pages
79 - 99 (21page)

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The 87 Labor Relations Regime in Korea: Problems and Solutions
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Abstract· Keywords

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This paper investigates the features and problems of the 87 labor relation regime shaped by the democratic movement in 1987 in Korea applying both game theory and variety of capitalism theory and using literature on labor relations. It shows that even though the regime has expanded labor basic labor right due to economic democracy, it has made contradiction as labor market has become dual and middle class has shrunk. It has been led by the militant labor movement of monopolistic large enterprises workers so as to prevent tripartite parties from shaping trust and cooperation and rather put them in legalistic conflict. It is characterized by labor market rigidity as well as labor politics which has lowered consciousness of and responsiveness to technology changes, globalization and ageing, which has made policy arena skewed against small and medium enterprises and irregular workers. It is hard to be sustained as it does not match open economy in that fortified employment protection laws have raised gap between economic environment and institutions. In order to make the 87 labor relation regime replaced with new one with both flexible and stable employment, the government should change its existing roles toward expanding autonomy and decentralization and put emphasis on the reform of labor market policies rather than that of labor laws. It should make policy bargaining arena flat for the regime to work for the majority of workers as the principle of democracy and change labor laws for labor and management to build up trust and cooperation as well as for labor unions to be balanced with right and social responsibility as the Korea Constitution demands.
#87 labor relation regime #variety of capitalism #game theory #dual labor market #labor union

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Acemoglu, Daron / 2014 / Cycles of Conflict : An Economic Model / American Economic Review 104(4):1350~1367 google schola Acemoglu, Daron / 2017 / Asymmetric Growth and Institutions in an Interdependent World / Journal of Political Economy 125(5):1245~1305 google schola Aghion, P. / 2010 / Regulation and Distrust / Quarterly Journal of Economics 125(3):1015~1049 google schola Aghion, Philippe / 2011 / Civil Society and the State : The Interplay Between Cooperation and Minimum Wage Regulation / Journal of the European Economic Association 9(1):3~42 google schola Akkerman, Agnes / 2008 / Union Competition and Strikes : The Need for Analysis at the Sector Level / ILR Review 61(4):445~459 google schola

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