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[Asia Economy Reporter Kiho Sung] As the possibility of passing the “Amendment to the Trade Union and Labor Relations Adjustment Act (Yellow Envelope Act)” in the September regular session of the National Assembly increases, which prevents claiming damages for losses caused by illegal strikes by labor unions, the business community is becoming highly tense.

The main opposition party, the Democratic Party of Korea, has declared its intention to definitely legislate this bill, and given the distribution of seats in the National Assembly, it is expected to pass smoothly through the relevant standing committee, the Environment and Labor Committee.

The business community fears that if the Yellow Envelope Act passes the National Assembly, illegal occupation and property damage by labor unions will become more severe. Experts point out that the law infringes on constitutionally guaranteed property rights and contradicts global trends.

According to political and business circles on the 14th, Sohn Kyung-shik, Chairman of the Korea Employers Federation, plans to visit the National Assembly in the afternoon to meet with Jeon Hae-cheol, Chairman of the Environment and Labor Committee, to convey the business community’s concerns about the Yellow Envelope Act, which restricts claims for damages against labor unions.

The business community is showing such active movements because they judge that if the bill passes, it could encourage illegal actions by labor unions, causing serious damage to companies. The core of this bill is that companies damaged by labor disputes cannot exercise the right to claim damages against labor unions or individual union members. Already, six related bills have been proposed in the 21st National Assembly, and it is known that Chairman Jeon Hae-cheol is also preparing related legislation.

The business community opposes the restriction on the right to claim damages despite losses caused by illegal strikes by labor unions, arguing that it excessively infringes on the constitutionally guaranteed fundamental right of property. Hwang Yong-yeon, Head of the Labor Policy Department at the Korea Employers Federation, criticized, “Not allowing claims for damages for huge losses caused to companies by illegal dispute actions is an excessive restriction,” adding, “This contradicts civil law and does not align with global standards.”

Professor Kim Hee-sung of Kangwon National University Law School pointed out, “Because it can seriously infringe on the employer’s property rights, it can cause many problems and confusion,” and added, “Such a law, which cannot be found in advanced countries, requires more careful discussion during the legislative process.”

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