Seoul City to Provide Temporary Employment Support Fund of 500,000 Won to Bus Transport Workers
50,000 KRW Support per Transport Worker Facing Job Insecurity Due to COVID-19... Wide Coverage Including Village, Charter, and Airport Buses
Bus Passengers Down 25%, Airport Bus Operations Halted 98%, Charter Bus Contracts Suspended 88%, Severe Financial Crisis
On the 9th, as the nationwide bus industry faces the implementation of the 52-hour workweek system, buses were parked at a bus company's garage in Seoul amid rising fears of a strike. According to the Korea Federation of Automobile Workers' Unions under the Korean Confederation of Trade Unions, strike approval votes were held at over 200 workplaces in 10 regions nationwide on the same day, with strike approvals following one after another, raising concerns about a bus crisis. Photo by Kim Hyun-min kimhyun81@
View original image[Asia Economy Reporter Lim Cheol-young] The Seoul Metropolitan Government is taking comprehensive measures to support the recovery of livelihoods in the transportation sector, including providing temporary employment subsidies to bus transport workers who have been suffering from prolonged job insecurity due to the spread of COVID-19.
On the 18th, Seoul announced that as part of its comprehensive livelihood protection measures, it will provide employment subsidies worth 500,000 KRW per person, totaling 3.1 billion KRW, to 6,130 drivers of village buses, charter buses, and airport buses who have been struggling due to COVID-19. Starting with the bus sector announcement on the 17th, the temporary employment subsidy for transport workers, including buses and corporate taxis, is expected to be implemented on a scale of 13.6 billion KRW.
The Seoul bus transport industry has faced severe management difficulties and financial distress for about two years due to social distancing measures implemented to curb the spread of COVID-19. In particular, the number of bus passengers decreased by 25%, airport buses suspended 98% of their operations, and charter buses experienced an 88% suspension of operation contracts, highlighting the urgent need for support measures.
Due to social distancing measures following the spread of COVID-19, the number of bus passengers decreased by 23.6% in 2020 and by 24.7% in 2021 when COVID-19 resurged. Furthermore, airport buses saw 98% of all routes suspended due to closed air routes, and charter buses suffered a decline of over 88% in operation contracts as the number of tourists and commuters decreased, compounded by cancellations of various gatherings and corporate events.
In response, Seoul plans to expedite the disbursement of subsidies so that transport workers directly affected can receive the support before the Lunar New Year. Applications will be submitted collectively by each employer with supporting documents verifying the drivers’ employment conditions. The subsidies will be paid individually to the drivers’ accounts. The employment condition requires that the transport worker is employed by a village bus, charter bus, or airport bus company registered in Seoul, which experienced decreased sales due to COVID-19, and has worked for at least two months as of the 17th.
So far, despite the difficult conditions caused by COVID-19, Seoul has been closely cooperating with bus operating agencies to continuously provide transportation services, including improving satisfaction with city and village bus services. Last year, a budget of 8.9 billion KRW was allocated to provide COVID-19 damage support funds to bus transport workers.
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Baek Ho, Director of the Urban Transportation Office, said, “Despite the difficult circumstances, efforts to maintain public transportation disinfection and normal operation have ensured smooth transportation services. As bus transport workers are facing hardships due to the prolonged COVID-19 pandemic and sharp decline in transportation revenue, we will do our utmost to promptly provide this employment subsidy.”
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