The National Assembly Budget Office also expresses concerns about the 4th supplementary budget's "fairness"... Some receive salaries without working

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[Asia Economy Reporter Wondara] The National Assembly Budget Office pointed out issues of 'equity' and 'blind spots' regarding the decision to selectively provide the 4th supplementary budget. While there are blind spots where support is not received in telecommunications fee payments and small business support, the job support project is being indiscriminately executed, such as cases where people receive money without working.

In the 'Analysis of the 4th Supplementary Budget for 2020' published on the 14th, the Budget Office criticized the "uniform payment of 20,000 won for telecommunications fees," stating, "Providing support only to those who subscribe to and use mobile communication services may cause equity issues." It also pointed out that the budget for establishing and operating a temporary center for telecommunications fee reduction support amounts to 946 million won, and that the government and telecommunications companies are expected to face workload burdens for screening tasks such as excluding multiple lines.

It also analyzed that equity controversies are expected in small business support. The Budget Office noted, "In the process of selecting small business owners, in-depth discussions are needed to resolve blind spots and minimize equity issues."

Regarding the exclusion of entertainment bars and dance halls from the list of prohibited and general business types, it stated, "The government explained this decision as considering public sentiment, but entertainment bars and dance halls operate with legitimate government permits like other businesses," adding, "Considering the losses incurred due to the government's administrative order for a complete business shutdown, there may be controversy over whether there is a reasonable discriminatory reason for excluding only these two business types from support."

For general business types that set annual sales decline as the support criterion, it pointed out that newly established businesses this year or small business owners who mainly conduct cash transactions are excluded from receiving support due to difficulties in providing evidence. Regarding the decision to provide 500,000 won to closed small businesses, it highlighted the issue that small businesses closed before August 16 are excluded.

While support funds are not evenly distributed, a significant amount of money is leaking through job projects. The Budget Office analyzed that for the Hope Work Support Project, which has a budget of 1,288.64 billion won, "the recruitment of 300,000 jobs planned through the last three supplementary budgets is delayed, with about 90,000 positions unfilled compared to the plan," and "it is expected to be difficult to recruit the planned number of people on time for the regional job projects supplied through the 4th supplementary budget."

It also added, "In some regions, due to the implementation of social distancing, even for those already selected, the operation of work projects is weak, and salaries amounting to 70% are paid without separate work activities. In the rush to fill positions, people who are not from vulnerable groups are also being selected."

Meanwhile, the Budget Office analyzed that the necessity of composing the 4th supplementary budget is reasonable. It judged that "it falls under 'disaster' according to the National Finance Act," and "the damage greatly exceeds that of the Middle East Respiratory Syndrome (MERS), which had 38 deaths," concluding that "it satisfies the large-scale disaster requirement for composing a supplementary budget."

However, it noted, "The 4th supplementary budget is the fourth such budget composed since 1961 (59 years ago)," and "the only time more than five supplementary budgets were composed was once in 1950 during the Korean War (7 times)," forecasting that "the deficit will expand by 7.1 trillion won compared to the 3rd supplementary budget."

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