Are company dinner hours and dinners with clients considered working hours under the Labor Standards Act?
In accordance with the Guidebook on Reducing Working Hours published by the Ministry of Employment and Labor (MOEL), company dinners do not count toward working hours even if a department head directs employees to attend. This is because dining out is intended to boost employee morale and enhance organizational solidarity and friendship, regardless of workers' basic labor performance.
However, many companies have recently reduced the frequency of company dinners, leading people to wonder how many gatherings, or how many hours spent at those gatherings, were unnecessary in the past.
On the other hand, there have been no cases in which the court or the MOEL have recognized dinners with clients as working hours. Using the company credit card does not influence this. However, if the corporate card is used to pay for a meal as a result of direct instructions from the employer, that time does count toward working hours.