Small Business Losses 'Advance Support, Settle Later' Adopted as Ruling Party Policy

[Asia Economy Reporter Oh Ju-yeon] The Democratic Party of Korea will officially adopt the ‘Lee Jae-myung-style COVID-19 legislation,’ which includes advance compensation for small business owners' losses, as the party's official stance.

On the 22nd, the Democratic Party decided to adopt as party policy the Small Business Support Act featuring the ‘advance support and post-settlement’ loss compensation method proposed by presidential candidate Lee Jae-myung, as well as the Infectious Disease Prevention Act to establish an Infectious Disease Emergency Response Fund, at the parliamentary meeting held that afternoon.

Yoon Ho-jung, Co-Chairman of the Democratic Party's Central Election Countermeasures Committee, is delivering opening remarks at the Central Election Countermeasures Committee meeting held at the party headquarters in Yeouido, Seoul, on the 22nd. Photo by Yoon Dong-ju doso7@

Floor leader Yoon Ho-jung said at the Central Election Committee meeting in the morning, "The party has emphasized full compensation based on the principle of ‘advance support’ for small business owners' loss compensation and ‘direct cash support’ rather than financial aid," adding, "We have been preparing legislation to support this, and we plan to adopt it as party policy today."

Floor leader Yoon stated, "We will adopt as party policy the amendment to the Small Business Protection and Support Act to establish the legal basis for advance support, the amendment to the Infectious Disease Prevention Act to establish the Infectious Disease Emergency Response Fund, and the amendment to the National Finance Act." Additionally, the amendment to the Sejong Special Self-Governing City Act, which allows the presidential office to be established in Sejong City, will also be adopted as party policy.

Yoon emphasized, "Candidate Lee will also attend the parliamentary meeting to show that the party and the candidate are working together to make additional measures with full effort." He also urged the People Power Party and candidate Yoon Seok-youl, saying, "Stop just talking about small business owners and respond to the schedules of the standing committee and plenary session for discussions on related bills."

On the same day, party leader Song Young-gil said, "Whether it is a one-on-one consultation between candidates Lee Jae-myung and Yoon Seok-youl, or a two-on-two meeting between me and floor leader Yoon Ho-jung and chairman Kim Jong-in and floor leader Kim Ki-hyun, let’s create a negotiation table in any form," and urged, "We call for consultations on measures for small business owners who are pushed into urgent and critical situations."

Earlier, on the 17th, candidate Lee said at the first meeting of the COVID-19 Crisis Response Special Committee, "For small business owners and self-employed people who are expected to suffer direct and indirect damage due to strengthened social distancing, I hope to focus on fiscal support rather than financial aid and mobilize sales support measures such as consumer coupons as much as possible." He emphasized the need to establish a legal basis to provide advance support and post-settlement for industries expected to be affected, as so far only ‘ex-post compensation’ has been provided to small business owners and self-employed people who suffered losses. The funding for advance support and post-settlement is planned to utilize the Small Enterprise and Market Service Fund, similar to existing loss compensation.

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