Compensation for Losses, Solidarity Fund, and Other COVID-19 Bills Likely to Be Delayed Until After the Election

[Image source=Yonhap News]

[Asia Economy Reporter Park Cheol-eung] Amid the turmoil caused by the Korea Land and Housing Corporation (LH) scandal shaking the political landscape, the full-scale discussions on related bills for loss compensation and fund establishment to overcome COVID-19 are expected to be postponed until after the by-elections on the 7th of next month. The ruling party initially planned to pass these bills within this month, considering their urgency.

According to the National Assembly on the 16th, the Small Business Protection and Support Act amendment bill, which includes the basis for loss compensation, and the amendment bill to the Act on Promotion of Mutual Growth between Large and Small-Medium Enterprises reflecting the profit-sharing system have not even begun discussions at the subcommittee level, the first stage in the Industry, Trade, Energy, Venture, and SMEs Committee (SanJaWi). The bills related to the Social Solidarity Fund, proposed respectively by Democratic Party lawmakers Yoo Dong-su, Yang Kyung-sook, and Lee Yong-woo on the 26th of last month, have yet to be addressed in the Political Affairs Committee.

The plenary session of the National Assembly to handle the supplementary budget bill is scheduled for the 24th, and official by-election campaigns will begin the following day. While some bills may soon start subcommittee discussions, there are many issues to be deliberated, and the physical time is insufficient to pass through the full committee meeting, the Legislation and Judiciary Committee, and the plenary session within just one week.

Lee Hak-young, chairman of the SanJaWi from the Democratic Party, said in a phone interview with Asia Economy, "The loss compensation-related bills are to be applied after processing the supplementary budget and distributing the 4th support fund, so there is room for more time to discuss." He added, "The profit-sharing system is a complex issue starting from the concept itself, so thorough discussions are necessary. Both bills will likely become active only after the by-elections."

However, he added, "Although the LH scandal has emerged as a political issue, it is not under the jurisdiction of SanJaWi, and we will not fail to do our work due to its influence."

Yoo Dong-su, senior deputy floor leader of the Democratic Party and proposer of the Social Solidarity Fund bill, said, "Although it is delayed a bit, we are trying to speed up as much as possible. If it cannot be done this month, it will be carried over to next month, but there is a consensus on the urgency." He continued, "Issues tend to be sucked into a black hole before elections, and this time the LH scandal overlapped. Still, the National Assembly intends to focus on legislation and proceed as planned."

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