President Lee: "Outdated Management Practices by Foreign Firms Will Not Be Tolerated in Korea"
IKEA Accused of Demoting and Pressuring Parental Leave Employee to Resign
“Strict Action Will Be Taken in Line with International Standards”
President Lee Jae-myung stated that "outdated management practices will not be tolerated" in relation to IKEA Korea, which is facing allegations of demoting and pressuring an employee who returned from parental leave to resign. This is a warning that, even for global corporations, if anti-labor practices are found in Korea, the government will respond strictly in accordance with international standards.
President Lee Jae-myung delivered a congratulatory speech at the Korea-Mongolia Business Forum held at a hotel in Ulaanbaatar, Mongolia, on the 9th (local time). 2026.7.9 Yonhap News Agency
View original imageOn July 10, President Lee wrote this on X (formerly Twitter), citing news reports about IKEA Korea.
President Lee said, "There have been times when companies that were considered exemplary global enterprises in other countries drew criticism for acting in an anti-labor and non-transparent manner only in Korea. Although this was when our government pursued anti-labor policies and was marred by corruption, now that Korea has become a leading model society and government on the world stage, such outdated management practices will not be tolerated."
President Lee added, "Just as our own companies must not engage in anti-labor or irrational practices abroad, foreign companies must not do so in Korea either. If a thorough investigation confirms these allegations, strict measures will be taken in line with international standards."
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According to reports, global furniture company IKEA Korea is under investigation by the Ministry of Employment and Labor after allegations surfaced that the company demoted and pressured an employee who returned from parental leave to resign. The Anyang branch of the Ministry has been investigating IKEA Korea CEO Isabel Puig since April on suspicion of violating the Gender Equality Employment Act.
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