Posco extends child care support to tackle low birth rate

South Korean steel firm Posco Group has woven social welfare into its corporate strategies through its child care centers, open not just for their own workers but also those of its partner firms, as part of efforts to help tackle the nation's falling birth rate.

The Shared Coexistence Work Child Care Centers, initiated in June 2020, are collaborative ventures between Posco and its suppliers, underscoring the group's dedication to supporting a work-family balance in response to national demographic challenges.

Initially, Posco operated two facilities solely for its employees' children in Pohang, North Gyeongsang Province, and Gwangyang, South Jeolla Province, its main areas of operation.

Then in April 2019, Posco and the Korea Workers' Compensation & Welfare Service signed a memorandum of understanding to expand the services to include children of employees from affiliated companies and partner companies, fostering a more inclusive environment.

Now, Posco runs 15 child care centers, two of which are specifically designed as the Coexistence Work Child Care Centers.

In these specialized centers, over 50 percent of the children enrolled are from families of partner company employees. This initiative, supported by 41 partner companies in Pohang and 88 in Gwangyang, exemplifies corporate-level commitment to fostering shared growth with small and medium-sized enterprises.

Posco's Dongchon Child Care Center features an indoor garden, a library, and an English program, while the Geumdang Center provides nature and digital play facilities. Both centers exceed typical day care services.

In addition to the joint workplace child care centers, in 2020, Posco renovated its child care center at the Posco Center in Gangnam, Seoul, which is now fully open to children of employees from group companies and partner companies.

Expanding its welfare initiatives, Posco has also introduced a child care program to help parents avoid career interruptions due to childrearing responsibilities.

Moreover, following a shared growth memorandum signed on June 24, 2021, with around 90 partners and suppliers, Posco has embarked on educational support, including the creation of a scholarship fund. This fund annually assists the educational expenses of children of all partner company employees, from kindergarten through university, highlighting its commitment to extend the definition of corporate family.