Voices from the Field: Call Centers in the AI Era Are Evolving, Not Disappearing
Editor
It has been over a decade since predictions emerged that AI would take away call center jobs. However, the reality on the ground tells a completely different story. Son Young-deuk, chairman of KS Korea Employment Information, the largest outsourcing company in Korea, shared an intriguing perspective in an interview with the Korea Economic Daily. AI is not eliminating jobs but rather solving the chronic labor shortage.
According to Chairman Son, the call center industry is currently suffering from a severe manpower shortage. The younger generation is avoiding emotionally demanding counseling jobs, making recruitment difficult. In this context, AI is not replacing humans but complementing the insufficient workforce. As of December 2025, this ‘hybrid model’ seems to be becoming the new standard in the industry.
Particularly noteworthy is the actual performance of KS Korea Employment Information. Despite the introduction of AI, last year’s revenue increased by 15% to 228.8 billion won, and operating profit nearly doubled from 2.8 billion won to 5.2 billion won. The fact that the company employs over 6,000 people is evidence that AI does not simply eliminate jobs.
What personally intrigued me the most was the forecast of ‘doubling counselor salaries.’ Chairman Son confidently stated that counselors who survive five years from now will receive at least double their current salaries. The reasoning is quite convincing. If AI handles 30-40% of repetitive tasks, counselors can focus on customer loyalty management or high-level consulting tasks. Their role shifts from ’emotional laborers’ to ‘CX (Customer Experience) experts.’
Practical Application Cases of AI Contact Centers
KS Korea Employment Information’s self-developed AICC (Artificial Intelligence Contact Center) platform ‘C-Hive’ is already being utilized by over 20 small and medium-sized enterprises. Unlike large corporations that build their own systems with massive capital, small and medium-sized enterprises have no choice but to rely on such external solutions, which is a telling example of the current reality.
There are particularly noteworthy fields. The BFSI sector, which requires 24-hour consultation, the e-commerce sector with many real-time inquiries, and the healthcare and insurance sectors where privacy protection is crucial. Public institutions and local governments’ disaster response or services for the elderly are also areas where collaboration between AI and professional counselors is needed.
The three major domestic telecom companies, KT, SK Telecom, and LG Uplus, are also developing AI-based customer center solutions. KT operates AI consultation services using ‘GiGA Genie,’ SK Telecom uses voice recognition technology based on ‘NUGU,’ and LG Uplus runs chatbot services based on Clova. Samsung SDS is also focusing on the call center sector in the enterprise AI solution market.
Interestingly, there are plans to enter the medical tourism business. Starting next March, they will operate a platform connecting Korean hospitals in partnership with China’s manpower specialist ‘Yingma Group.’ The strategy is to lower the existing market’s broker commission, which reaches 40%, to less than half and apply the same medical fees as locals to compete with transparency. The idea of applying customer management know-how accumulated through BPO to K-beauty is quite innovative.
The Real Threat of the Yellow Envelope Act
However, the biggest threat facing the industry seems to be not AI, but the Yellow Envelope Act, which will take effect next March. Chairman Son warned that this law could threaten the existence of the call center industry. The BPO industry is structured with contracts between the principal and subcontractors, but with the passage of the Yellow Envelope Act, subcontracted workers can now demand collective bargaining directly with the principal.
In fact, after a planned strike by the Korean Confederation of Trade Unions at a Chuncheon call center, 90% of jobs in the area reportedly disappeared. Such cases suggest a paradoxical situation where amendments to labor laws are actually reducing jobs. Chairman Son expressed concern that “the Yellow Envelope Act will once again shake labor-management relations.”
Personally, this seems to be the most realistic threat. Changes due to the advancement of AI technology are gradual and allow time for adaptation, but changes in legal systems are applied immediately. It is a serious issue, especially since the business model of the outsourcing industry itself could be shaken.
In fact, looking at this situation, one can see how complex the Korean labor market is. There is a need to adapt to technological advancements while also responding to changing legal systems. Seeing companies like KS Korea Employment Information grow through card crises, data breaches, and union strikes, one is impressed by the adaptability of Korean companies.
Ultimately, the call center industry in the AI era seems to be finding a new balance amid two major trends: technological evolution and institutional change. It seems to be a time to focus on how the essence of work is changing, rather than simply whether jobs are disappearing or increasing. It will be worth watching whether call center counselors will indeed become customer experience experts with double salaries in five years, and what the long-term impact of the Yellow Envelope Act will be on the industry.
This article was written after reading an industry article and adding personal opinions and analysis.
Disclaimer: This blog is not a news media outlet, and the content written is the author’s personal opinion. The responsibility for investment decisions lies with the investor, and no responsibility is taken for investment losses based on the content of this article.
