청 "Situation Different from Foreign Exchange Crisis, Employment Retention is Important"

"The Prerequisite for Overcoming Crisis is Employment Retention"..."A Different Paradigm is the Operating Principle of the World After COVID-19"

[Asia Economy Reporter Ryu Jeong-min] The Blue House stated that the economic crisis triggered by the novel coronavirus infection (COVID-19) is different from the International Monetary Fund (IMF) foreign exchange crisis, and emphasized the importance of maintaining employment.

A senior Blue House official told reporters on the 26th, "The situation now is different from the foreign exchange crisis in the late 1990s," and explained, "The foreign exchange crisis was mainly due to domestic factors, and labor market flexibility was an important condition for overcoming the crisis at that time."

The senior Blue House official added, "Because we had to receive bailout funds, legislation allowing layoffs and dispatch labor was introduced through a grand compromise among labor, management, and the government." The Blue House recognizes that the causes and solutions of the economic crisis then and now are different.

Photo by Mun Ho-nam munonam@

The senior Blue House official explained, "The situation now is different. This crisis originated not from within the Korean economy but from an external shock caused by COVID-19," and added, "Although we are overcoming it quickly, we are also significantly affected by other countries. In fact, exports sharply contracted in April." This means that the problem is not solved simply by Korea overcoming the COVID-19 situation.

The senior Blue House official said, "The basic direction for overcoming this crisis is to minimize the impact of such external shocks on the economy and to minimize the impact of those shocks on the basic lives of the people," and explained, "Therefore, the prerequisite for overcoming the crisis is maintaining employment."

The Blue House explained that countries including the United States have also prepared measures emphasizing the importance of maintaining employment. Regarding the sustainability of jobs, the senior Blue House official said, "It is not about keeping them until next year. Next year will be prepared through plans for the following year," and added, "It is difficult to say these are long-term sustainable jobs."

However, the Blue House expects that placing 100,000 people in digital and non-face-to-face sectors can bring job creation effects in the quarantine and medical fields after COVID-19. The senior Blue House official said, "After COVID-19, a significantly different paradigm will become the operating principle of the world," and added, "The achievements shown through quarantine should become a driving force for innovative growth in Korean society."

This content was produced with the assistance of AI translation services.