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There is significant variance in the strategies of labor market flexibility under the same pressure of globalization. This paper attempts to explain these variations by closely looking at the Korean case. This study pays particular attention to the response of labor, one of the most intractable actors in the reform process. After theorizing the nature of social welfare as a quasi-collective good and hypothesizing labors responses based on Olsons theory of collective action, it will seek to understand Koreas low commitments to flexicurity and the resultant dualism in the labor market. The core argument of this paper is that collective action problem among atomized corporate unions has led to high employment protection for the regular workers in the big business at the expense of marginal workers without appropriate social protection.


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South Korea, corporate unionism, big business, collective action problem, globalization, flexibility, labor market, flexicurity, employment protection.