[Exclusive] People Power Party Launches 'Labor Innovation Special Committee' with Equal Labor-Management Participation... "Easy Dismissal? An Outdated Frame"

Sent Official Letter to Korean Confederation of Trade Unions Requesting Participation
Democratic Party Also Engages in Policy Discussions with Korean Confederation of Trade Unions

Kim Jong-in, Emergency Committee Chairman of the People Power Party, Kang Eun-mi, Floor Leader of the Justice Party, and other participants attending the policy meeting for the prevention and avoidance of major disasters held at the National Assembly on the 10th are posing before the meeting begins. Photo by Yoon Dong-joo doso7@

[Asia Economy Reporter Park Cheol-eung] The People Power Party is forming a 'Special Committee for Labor Innovation Preparing for the Future' (Special Committee) with an equal number of party lawmakers and labor-management organization representatives. The committee plans to address current issues such as those concerning special-type workers (teukso hyeongtae nodongja, or teukgo), as well as strengthening the social safety net and solutions for irregular workers, but wage cuts or so-called 'easy dismissals' will be excluded. The Democratic Party of Korea will also hold a consultative meeting with the Federation of Korean Trade Unions (FKTU) to formally discuss labor agendas. Both ruling and opposition parties appear to be seeking new frameworks to respond to deepening polarization and the novel coronavirus disease (COVID-19).

According to political and labor circles on the 10th, the People Power Party officially sent a letter on the 6th requesting FKTU's participation in the Special Committee. Initially, the term 'labor reform' was used, but since FKTU expressed discomfort with it, the name was finalized as 'labor innovation.' On the 9th, FKTU requested the direction and agenda of the Special Committee, and the People Power Party replied at a meeting on the 28th of last month that it would focus on the tasks proposed by FKTU.

FKTU plans to decide on its participation after identifying more specific discussion topics. Since the term 'reform' was avoided and the tasks proposed by FKTU will be placed on the table, the possibility of participation seems considerable.

FKTU emphasized strengthening the social safety net and presented tasks such as employment security and livelihood stabilization amid the prolonged COVID-19 pandemic, ratification of the International Labour Organization (ILO) core conventions and amendment of the Trade Union Act, full introduction of a nationwide employment insurance system, and improvement of the irregular workers law system.

The Special Committee will be composed of People Power Party lawmakers belonging to the National Assembly's Environment and Labor Committee, including Kim Hyung-dong, a former deputy director of FKTU's legal office; Han Mu-kyung, a former corporate executive; and Chu Kyung-ho, a former first vice minister of the Ministry of Strategy and Finance. It will also include two representatives from the Korea Employers Federation (KEF) and two from FKTU. Academic experts will be organized as an advisory group.

Im Eui-ja, a People Power Party lawmaker and former FKTU vice chairman who is leading the formation of the Special Committee, said, "We intend to first discuss current issues such as the treatment of teukgo workers, ratification of ILO conventions, and prevention of serious accidents," adding, "Talks about wage cuts or free dismissal are outdated past frames and are not subjects of discussion at all. The basic intent is to align labor with the rapidly changing society in the era of Labor 4.0."

Kim Jong-in, the emergency committee chairman of the People Power Party, also stated during a meeting last month with Kim Jong-chul, the new leader of the Justice Party, "We are not advocating easy dismissal," while proposing transitions from company-level to industry-level unions and equal pay for equal work as solutions for irregular workers.

The Democratic Party will also hold a high-level policy consultative meeting with FKTU in the afternoon to discuss policy tasks. Attendees include party leader Lee Nak-yeon, Secretary-General Park Gwang-on, Policy Committee Chair Han Jeong-ae, Supreme Council member Park Hong-bae, a former financial labor union chairman, and Environment and Labor Committee Chair Song Ok-joo. From FKTU, Chairman Kim Dong-myeong and others will attend. The Democratic Party also plans to hold the launch ceremony of the 'Labor Respect Practice National Assembly Members Group,' led by lawmaker Yoon Hu-duk.

Focusing on the 'post-COVID' system and the Korean New Deal, the Democratic Party is in urgent need of social dialogue involving the labor sector. The Korean Confederation of Trade Unions (KCTU) withdrew from the tripartite agreement in July and is currently preparing for the next chairman election, so it appears to be prioritizing discussions with FKTU for now.

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