This paper aims to present the trajectory of corporate family-friendly policies (FFPs) in South Korea, as it evolved from an emerging economy to a developed country. The adoption of FFPs by South Korean corporations since the 1960s has been shaped by a dynamic interplay of cultural, political, economic, legal, social and organizational forces. The authors use the example of South Korea to propose a three-stage conceptual model for the adoption of FFPs in emerging economies.
Adopting the institution-based view, the authors explore the theoretical framework for implementing FFPs in corporations in emerging economies. This paper uses South Korea as a case study, reviewing its economic and corporate transitions from the early 1960s through 2023. The authors analyze cultural and macro-level forces, including political, economic, legal and social contexts to understand their impact on the adoption of FFPs.
The adoption of FFPs in South Korea encompassed three historical stages – embryonic, stagnant and leaping. The embryonic stage brought the birth of social interest in a worker-friendly environment, alongside rapid economic growth. In the stagnant stage, economic growth plateaued, resulting in stalled discussions of FFPs. In the leaping stage, economic recovery raised employee expectations, societal demands for FFPs to address ultralow fertility rates intensified and corporations adopted FFPs. All three stages are apparent in an emerging economy that is undergoing rapid growth and industrialization.
There has been scant investigation into the historical adoption of FFPs by emerging economies. The findings enrich the international literature by proposing a developmental model of the adoption of FFPs in emerging economies.
