Hey, there is terrible news for the employees of Samsung SDS, LG CNS, and SK C&C, the big three local IT service companies, because they have suffered from the revised Software Industry Promotion Act, as its new and revised version hinders or adversely affects their everyday business activities. It adversely affects all their junior and senior staff members.

According to the revised Software Industry Promotion Act, the participation of the three big IT service companies in Korea, i.e. Samsung SDS, LG CNS, and SK C&C, in IT projects in the public sector is banned. This makes things unfavourable this winter for their employees.

The company has not reduced the no. of employees yet. Still, some employees have volunteered to move to other firms, as the company finds no work for them and nothing to do in their companies due to this ban on their level of participation.

For overseas or new growth businesses, Samsung SDS is changing positions of 1,000 or so of its employees. The company has already withdrawn itself from the public IT service sector. To scale down business units and provide new jobs or employment opportunities to their employees, the two companies, LG CNS and SK C&C, have also recently completed their reorganisation. Both companies don’t want the restructuring. Thus, they deny the possibility of restructuring but intend to reduce the number of employees working in their companies through attrition.

According to an industry insider, “The current situation is a side effect of the revised Software Industry Promotion Act, which adversely affects normal business activities without any understanding of the software industry”.