Samsung and SK have urged the government to prioritize the establishment of favorable living conditions for key personnel to ensure the success of the southern mega projects. There is an urgent need for practical measures such as special housing allocations and the development of medical, educational, and cultural infrastructure to address the reluctance of highly skilled professionals to work in regional areas.
According to industry sources on September 29, Kim Yong-kwan, president of Samsung Electronics, and Jeong Seung-il, president of SK Inc.'s Future Growth Division, conveyed these concerns during the third mega project review meeting held at the Blue House.
Companies identify the recruitment and retention of high-level professionals as the biggest obstacle to large-scale investments in regional hubs like Gwangju, South Jeolla Province. The trend of preferring the metropolitan area has intensified, leading to a reluctance among PhD-level researchers and engineers to work in provincial locations. This is particularly concerning for semiconductor fabs, which are central to the mega projects, as there are serious risks of workforce attrition even if production lines are operational.
In fact, employees of Samsung Electronics and SK Hynix have expressed their frustrations in anonymous online forums, stating that whenever news of new regional facilities or transfers arises, they feel that they will ultimately return to the metropolitan area after enduring a temporary stint in the provinces.
The shortage of skilled workers is also at a critical level. According to a report by the Korea Semiconductor Industry Association, the domestic semiconductor industry is projected to face a shortfall of approximately 110,000 workers by 2031, with an estimated deficit of over 21,000 PhD-level professionals needed to drive advanced technologies.
Ahn Gi-hyeon, executive director of the Korea Semiconductor Industry Association, stated, "While investing tens of trillions of won in equipment is important for semiconductor fabs, having the core talent to operate them and develop cutting-edge technologies accounts for over 90% of business success. If the living environment is not established, and talent either does not come or leaves, we will inevitably fall behind in global competition."
The industry is calling on the government and local authorities to find fundamental solutions that overcome the limitations seen in past cases of innovation cities or regional industrial complexes. They argue that it is essential to create a comprehensive living ecosystem that ensures quality of life, including excellent schools for children's education, stable medical infrastructure, and expanded cultural and convenience facilities, rather than merely increasing housing supply.
Meanwhile, Kim Yong-kwan emphasized the urgent need for the recruitment and utilization of foreign professionals to alleviate the workforce shortage at regional facilities, actively communicating the challenges related to foreign employment. He highlighted the necessity for practical policy support to attract outstanding overseas talent and facilitate their settlement in provincial areas.
While companies are considering measures such as increasing allowances for regional workers and expanding shuttle bus services, there is a prevailing view that without comprehensive infrastructure support at the national level, these efforts will have clear limitations.
An industry insider remarked, "Incentives provided at the corporate level are merely temporary solutions and are insufficient to encourage complete family relocations. There is an urgent need for government-level measures, such as special housing allocations and comprehensive living infrastructure support, similar to those implemented during the establishment of Sejong City and innovation cities."
* This article has been translated by AI.
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