Korea’s new labor guidance, intended to draw a line between corporate management rights and workers’ collective bargaining rights, is instead drawing criticism from both sides, with its ambiguity casting doubt over major government-backed chip investment projects. This comes after the Ministry of Employment and Labor issued implementation guidance last week for what is known as the pro-labor “yellow envelope law.” According to the guidance, management decisions themselves — such as building or relocating plants, making overseas investments and adopting artificial intelligence — do not fall under mandatory collective bargaining or lawful industrial action. However, the guidance also says that bargaining and labor disputes may be possible when such decisions lead to concrete changes in employment conditions, including relocations of workers, changes in work arrangements or restructuring. The seemingly contradictory guidance has created confusion among both businesses and workers, who have voiced competing concerns over its potential impact on management decisions, job security