JDC pursues restructuring while promoting Jeju as a lucrative investment zone

The Jeju Free International City Development Center (JDC) is a public enterprise established by the Korean Government in order to turn Jeju into a global business hub. JDC has put its utmost efforts into promoting six major projects; an English education city, a health care town, a high-tech complex, a resort-type residential area, a myth history park and the Seoguipo Port.

In accordance with the government's policies, JDC pursues restructuring by making the organization more efficient. This move aims at making JDC focus on core business projects by making the organization slim. Therefore, JDC decreased its size, falling from 20 departments to 16 departments. JDC also introduced a responsible management system in which the CEO appoints heads of departments and heads of department select their staff members.

As a result, JDC strengthened organizational unity and stability in human resources management. Meanwhile, employees donate money which is then given to those who volunteer to retire. A total of 23 employees applied for voluntary retirements, with the donations contributing to stabilizing the organization and cutting down on labor costs.

In addition, JDC introduced a performance-based yearly salary system by simplifying the compensation system. The annual salary for new employees with four-year college degrees was reduced by 17.9%. While some employees did not understand the changes and complained about the advancement of government-run companies, the management of JDC promised to collect the opinions of employees via labor-management councils and other meetings before putting their plans into practice. The CEO even conducted direct meetings with those affected by the restructuring.

JDC also held workshops for labor-management harmony and to solve conflict between the two. JDC was efficient in stabilizing the organization and reducing costs by finishing the advancement of its human resources structure. JDC will also sell off its equities in the Jeju Tourism Organization as well as introduce a wage peak system after discussing the system with the labor-management council.

Meanwhile, JDC held road shows in Tokyo and Osaka in Japan in February to publicize the Jeju Health Care Town and Theme Park in order to attract investors. “JDC aims at turning Jeju into a free global city, differentiated from Hong Kong and Singapore, by maximizing its nature and investment potential,” said Byon Jong-il, the chief director of the Jeju Free International Development Center. “I hope that a lot of Japanese medical organizations are interested and take part in the health care project in Jeju.” The health care town project is to build a health and medical town on Jeju Island with investment of KRW 785 billion. The town will have not only hospitals but also a mediation center, condominium, hotel, water park, health science garden and wellness mall.

JDC recently announced that it had signed a business cooperation agreement with the Korea Institute of Oriental Medicine. The two agreed to join forces to attract oriental medical centers and develop programs to attract patients, as well as form joint management operations and networks with domestic and foreign colleges. “Via this business agreement, Jeju Island will be able to offer high-quality medical services that harmonize western and oriental medicine,” Byon said. “The health care town plan will be further promoted with the development of various medical programs.”

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