Seoul City: "Safe Income Recipients May Fall Below 100% of Median Income"

"The 100% Median Income Standard Was Estimated to the Best Extent Possible Given Data Limitations at the Time of the Pledge Announcement"

[Image source=Yonhap News]

[Asia Economy Reporter Lim Cheol-young] Seoul City has indicated the possibility of expanding the support scope for the Guaranteed Income program, which was initially planned to be implemented targeting 100% of the median income.

Lee Chang-geun, spokesperson for Seoul City, said to reporters on the 21st, "The 100% median income was the maximum possible given the data limitations at the time of the campaign announcement," adding, "Since it will be set at a level manageable with Seoul City's budget, it could be lower than 100%."

Guaranteed Income is a system that provides a certain percentage of cash support if annual income falls below a certain amount. Seoul City expects that introducing this system will alleviate income polarization, motivate work, and revitalize the economy. On the 27th of last month, Seoul City formed the 'Seoul Guaranteed Income Pilot Project Advisory Group' to promote the pilot project.

Regarding consultations with the Ministry of Health and Welfare about Guaranteed Income, the basic principle is to prohibit overlapping payments with other welfare funds that have different basic structures, and discussions are ongoing in this regard.

The spokesperson explained, "Local governments can execute the program, but basic livelihood security recipients and various welfare projects are overseen by the Ministry of Health and Welfare," adding, "The advisory group is consulting with the Ministry on basic principles and other matters."

Regarding the Seoul City Council's reaction to Guaranteed Income, he said, "There seems to be a lot of misunderstanding. Even among the Democratic Party presidential candidates, many oppose basic income," and added, "The income quintile ratio has worsened over time, deepening polarization."

He continued, "Statistics have proven that the current welfare system is insufficient, and Guaranteed Income is one of the alternatives to resolve polarization," adding, "If results come out from the pilot project, the premise is to thoroughly review welfare policies and then consider nationwide expansion."

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