In a bold move to help reverse South Korea’s record-low birth rate, billionaire Lee Joong-keun, founder and chairman of the Booyoung Group, has introduced an extraordinary $75,000 baby bonus for his employees.
Newsonspot reports the Seoul-based construction giant announced that it would award 100 million Korean won (approximately $75,000) to any staff member who has a baby – and the offer applies retroactively to employees who already welcomed children before the policy began.
“If the current low birth rate continues, our nation could face an existential crisis, from a shrinking workforce to a shortage of defense manpower,” Lee warned during a recent company meeting. He explained that the decision was driven by the growing financial strain and the challenge of balancing work and family life in modern society.
Since 2021, Booyoung Group has already spent 7 billion won ($5.25 million) rewarding employees who collectively had 70 babies. The company is now considering additional measures, such as rent-free housing for workers with three or more children – if the government provides land for such projects.
The generous incentive is open to both male and female employees across the company’s 2,500-strong workforce. Beyond the childbirth bonus, Booyoung Group also helps employees cover college tuition, medical expenses, and child allowances to further ease the financial pressures of parenting.
Lee Joong-keun is also calling on the South Korean government to introduce tax deductions that would allow employees to fully enjoy these benefits, while encouraging other corporations to adopt similar family-supportive policies.
South Korea, despite various government incentives – including subsidized housing for newlyweds and baby payments of around $2,250 – continues to struggle with the world’s lowest fertility rate. The country’s average birth rate has dropped to 0.78 births per woman in 2022 and is projected to fall even further to 0.65 by 2025, raising concerns about the future of its workforce and economy.
Lee’s bold initiative may set a new corporate example, showing that supporting families is not just a social responsibility, but an investment in a nation’s survival.
