South Korea to limit hiring of personnel in public firms in 2023

South Korea has unveiled guidelines calling on 350 public firms to reduce their non-core business and lower the maximum number of employees by 2023. The guidelines aim to overhaul operations of public firms in a bid to improve their productivity and prevent lax management amid a sharp rise in personnel and debt. Public firms should also sell non-essential assets and cut business costs by more than 10% in H2. Large welfare benefits will be reduced to meet the public's standards. Finance Minister Choo Kyung-ho said the government will no longer tolerate public firms' inefficiency and lax management. To streamline public firms' functions and personnel, the government plans to require them to reduce the maximum number of employees for next year.