Exclusive Samsung to offer longer maternity leave

By Kim Yoo-chul

Samsung Electronics plans to allow female workers two years’ paid maternity leave.

It now offers one year, as stipulated by law.

"We want to support prospective moms," a Samsung official said Sunday. He said it was part of a package to be announced this week.

A Samsung spokesman in Seoul declined to confirm the report.

The move comes after global technology companies such as Vodafone and YouTube recently offered more support for working and expectant mothers.

Officials say such moves are also in accordance with government efforts to revitalize the sagging job market.

"Maintaining a flexible working system is the key to improving business efficiency and save costs, while extended paid maternity leave is also good for families," the official said.

Women account for 42 percent of Samsung’s workforce.

As of last year, Samsung Electronics had 319,208 full-time employees globally, with South Korea taking up 31.1 percent. Entry-level female employees accounted for 48.3 percent, followed by senior working moms at 12.4 percent, the report said.

"The return rate after maternity leave was 91 percent last year after 92 percent in 2013,” another company official said. “Therefore, we are not worried about a vacuum in our workforce as a result of this new policy and those who take a longer leave shouldn’t be deterred by job insecurity."

Maternity leave rules vary widely across the world ― from 12 weeks of unpaid leave in the United States, to 39 partially paid weeks in the United Kingdom.

A KPMG report, commissioned by Vodafone, found that global businesses could save up to $19 billion a year if they decided to let female employees use more maternity leave.

KPMG said companies spend roughly $47 billion a year recruiting and training new employees to replace women who leave the workforce after giving birth.

Samsung is on track for a power shift to Lee Jae-yong, the Samsung heir who is Samsung Electronics vice chairman. "As a leadership change is under way, there will be more measures benefitting employees," according to the official.

With the policy, Samsung is also set to introduce one-year "Self-Development Leave" to help employees strengthen their careers.

"Samsung employees who have been with the company for more than three years may take advantage of the system,” he said. It will boost employees’ loyalty, the official said.