As office workers face growing lunch costs, local governments are stepping in to subsidize dining expenses for employees of small and medium-sized enterprises.
The average price of kalguksu (Korean noodle soup) in Seoul reached 9,923 won, while a single serving of pork belly (200g) cost 21,056 won, according to the Korea Consumer Agency's price tracking service on Sunday. The bigger problem is the pace of price increases. Over the past five years, dining-out inflation rose about 25.3 percent, far outpacing the overall consumer price increase of 16.8 percent during the same period. Lunch cost burdens have become so severe that office workers have coined the term "lunchflation," referring to the rise in lunch dining costs.
Against this backdrop, local governments are taking active measures. Ulju County in Ulsan is recruiting companies to participate in its "2026 Hearty Lunch Support Program for Office Workers" through the 20th of this month, aiming to ease workers' lunch cost burdens. The program targets small and medium-sized enterprises, as defined under the Framework Act on Small and Medium Enterprises, that pay meal allowances to their workers. It provides a 20 percent discount on meals paid at local dining establishments during lunch hours from 11 a.m. to 3 p.m. on weekdays.
Employees can receive up to 40,000 won per person per month, meaning a 10,000 won pork stir-fry rice bowl could be bought for 8,000 won. Ulju County expects the program will "reduce the lunch cost burden for SME workers and help revitalize the local dining industry."
Other local governments are quickly following Ulju County's lead. Several regions, including Tongyeong, Haman, Goseong, Sancheong, Geochang and Hapcheon in South Gyeongsang Province, as well as Wonju, Gunsan and Buan, have already completed or are conducting recruitment of participating companies. This follows the Ministry of Agriculture, Food and Rural Affairs' inclusion of a 7.9 billion won "Hearty Meal for Office Workers" pilot project in its 2026 budget proposal.
The government's designated beneficiaries are 54,000 SME workers located in population-declining areas, with lunch support set to begin in earnest in the second half of 2026. Under the structure, the government and local governments each cover half of a 20 percent discount on the payment amount. If companies also sign matching support agreements, workers can solve their lunch needs at up to half price.
Discounts are provided through digital meal voucher companies or card companies, and participating companies can choose one of the two methods. However, in line with the goal of revitalizing the dining industry, cafeterias, convenience stores and online payments through delivery apps are excluded from support.
Among office workers, there are welcoming reactions to the policy to ease lunch cost burdens. An employee at a small company in Ulju County, Ulsan, said, "Since the real burden remains due to price increases, this kind of support will provide practical help."
However, criticism is also considerable. A fundamental question has been raised about whether it is appropriate to subsidize office workers' meal costs with taxes. In online communities, comments such as "It might be understandable to support low-income groups or children who go without meals, but the government paying for the lunches of office workers who have income is populism" have followed one after another. The opposition People Power Party also criticized the program, saying, "In a reality where many young people and the elderly cannot even afford meals because they lack jobs, is it reasonable to subsidize office workers' lunches with taxes?"
The government is reportedly reviewing plans to expand the scope of the project in the future after conducting the pilot program for three years and closely verifying its effectiveness. The policy's success appears to depend on how many small and medium-sized enterprises and workers participate, and whether the support actually leads to revitalization of the dining industry and stability in office workers' lives.
