Speeding Up the Enactment of the Special Act for Livelihood Support for Korean Workers of USFK, Wage Prepayment Based on the Labor Standards Act

Government Conveys 70% Advance Payment Plan to US... Aims to Enact Special Law within 20th National Assembly
Over 4,000 Korean Workers Unpaid for 27 Days, Facing Livelihood Threat
National Defense Committee Chairman Ahn Gyu-baek States "We Have Seven Measures"

[Image source=Yonhap News]

[Asia Economy Reporter Lim Cheol-young] As the South Korea-U.S. defense cost-sharing negotiations have prolonged, the government has decided to advance 70% of the existing wages to support the livelihoods of about 4,000 Korean workers employed by the U.S. Forces Korea (USFK), who have been under forced unpaid leave for 27 days. The Democratic Party of Korea plans to submit the government's proposal, including the '70% advance payment' plan, and enact a special law to be processed within the 20th National Assembly.

According to related ministries on the 27th, the government has decided to directly pay 70% of the existing wages to support the livelihoods of about 4,000 Korean workers employed by the USFK, who have been forcibly placed on unpaid leave since the 1st of this month. Following U.S. President Donald Trump's rejection of the tentative agreement reached by the South Korea-U.S. defense cost-sharing negotiation team, it has become difficult to predict when the 11th Special Measures Agreement (SMA) negotiations will be finally concluded.

Accordingly, the government is expected to apply the current Labor Standards Act, under which if an employer pays 70% of the average wage to employees, the government compensates part of the cost as employment retention support funds. According to the current Labor Standards Act, employers must pay at least 70% of the average wage as suspension allowance when employees are on leave, and the government reimburses part of this cost as employment retention support funds.

The government is reported to have conveyed this plan to the U.S. side through diplomatic channels. A senior government official explained, "We proposed a plan to pay wages in advance to Korean workers of the USFK who are on unpaid leave, and after the negotiations are concluded, the defense cost-sharing funds will be paid excluding the amount the government has already disbursed." The U.S. side has reportedly not raised any objections so far.

The National Assembly is also lending support to swiftly implement the government's policy. In principle, Korean workers of the USFK cannot receive government support for unpaid leave under current law, as the employer is the U.S. President and Korean labor laws do not apply under the Status of Forces Agreement (SOFA) between South Korea and the U.S. The longer the defense cost-sharing negotiations remain deadlocked and the agreement gap prolongs, the more the livelihoods of Korean workers employed by the USFK are exposed to greater threats.

Discussions on enacting a more concrete special law to support the livelihoods of Korean workers are expected to intensify starting this week. The Democratic Party of Korea plans to enact a special law containing provisions such as 'government priority support' and 'prevention of recurrence,' aiming for passage within the 20th National Assembly. The opposition Future United Party has also proposed a special bill with the same intent.

Democratic Party lawmaker Ahn Kyu-baek (Chairman of the National Defense Committee) has taken the lead in proposing the 'Special Act for the Stabilization of Living and Support of Korean Workers Employed by the USFK,' which includes provisions such as the Korean government's advance payment of wages. Meanwhile, Future United Party lawmaker Kim Sung-won has also led the proposal of a special law related to preventing recurrence and establishing a support committee for Korean workers. Lawmaker Ahn plans to add a clause for expedited processing.

On the same day, lawmaker Ahn appeared on MBC Radio's 'Kim Jong-bae's Focus' and commented on U.S. President Donald Trump's rejection of the tentative agreement, saying, "I cannot speak emotionally, but it is excessive," and added, "No citizen can understand this negotiation." Regarding support for Korean workers, he added, "There are seven options, and the plan to pay 70% of wages seems to be one of them."

Lawmaker Kim emphasized the need to establish institutional measures to support Korean workers who have been driven into a desperate situation where even basic livelihoods are difficult to maintain and to guarantee employment stability. He proposed including provisions in the special law such as ▲government bearing the cost of livelihood stabilization allowances for Korean workers of the USFK on unpaid leave ▲priority payment of wages if South Korea-U.S. negotiations are delayed again (prevention of recurrence) ▲establishment of a Korean workers support committee under the Prime Minister ▲establishment of a Korean workers support working committee under the Minister of National Defense.

[Image source=Yonhap News]

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