[New Year's Message] Korea Employers Federation Chairman Son Kyung-sik: "We Must Create a 'Business-Friendly Environment' in the New Year"

Ahead of the March presidential election, presidential candidates emphasize "Creating an environment that respects free economic activities and entrepreneurship"

[Asia Economy Reporter Yu Je-hoon] Sohn Kyung-shik, Chairman of the Korea Employers Federation, urged on the 30th, "I sincerely hope that presidential election candidates place utmost emphasis on creating an environment where 'free economic activities and entrepreneurship are respected' and prepare their policy pledges accordingly."

In his New Year's address, Chairman Sohn stated, "In the new year, policies to enhance national competitiveness and revive economic dynamism are urgently needed. Please become partners in innovation and growth so that companies can invest freely and create jobs."

He first noted, "In 2021, despite the COVID-19 crisis, our economy achieved better-than-expected results due to the relentless efforts of companies; however, difficulties for small businesses and micro-enterprises continue, and with factors such as the spread of new virus variants and global supply chain instability, the sense of crisis in our economy is rising again. The business environment for companies will not be smooth in the new year either."

He continued, "For our economy to overcome the crisis and regain corporate vitality, above all, we must create a 'business-friendly environment' where traditional industries can innovate and new industries can emerge. To this end, bold regulatory reforms are necessary. Through the introduction of negative regulation, barriers that hinder the fostering of new industries and advanced technological innovation must be removed, and unnecessary regulations that obstruct industrial transformation and convergence must be resolved," he emphasized.

Chairman Sohn also mentioned tax and management systems, calling for ▲ alleviation of corporate and inheritance tax burdens ▲ resolution of regulations related to ownership and governance under the Commercial Act and the Fair Trade Act ▲ revision of excessive criminal punishment provisions for businesspeople ▲ and amendment of the Serious Accident Punishment Act.

Furthermore, regarding labor-management issues, he said, "Advancement of labor-management relations must start with balancing the power between labor and management. Current systems, such as criminal punishment of employers for unfair labor practices and the complete prohibition of replacement labor during disputes, which are rarely seen internationally, deepen the power imbalance between labor and management and thus need improvement."

Chairman Sohn concluded, "In the new year, the Korea Employers Federation will do its utmost to ensure that our companies can focus on management activities with confidence in the future. Above all, we will foster a social atmosphere where companies and entrepreneurs are respected and create a business environment that can further enhance our companies' innovation and willingness to take on challenges."

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