Pension Reform Timing: End of Yoon Administration? First Half of Next Year? ...The Tangled 'Reform Schedule'

President Yoon: "Pension Reform Should Be Finalized by the End of This Administration or Early Next Administration"
The National Assembly's Pension Reform Special Committee, Already in Operation, Will Continue Activities Until the End of April Next Year

[Image source=Yonhap News]

[Asia Economy Reporter Naju-seok] As the National Assembly's Special Committee on Pension Reform seeks pension reform measures in the first half of next year, President Yoon Seok-yeol announced a schedule to push for pension reform targeting the end of his administration, making confusion over the pension reform schedule inevitable.

On the 15th, at the first National Task Inspection Meeting held at the Blue House State Guest House, President Yoon stated regarding pension reform, "This government must complete systematic research and public discussion sufficiently so that a finalized version of pension reform can be released by the end of this administration or the beginning of the next government, and we must start the engine now," revealing the promotion schedule. Minister of Health and Welfare Cho Kyu-hyung also said at the meeting, "According to the law, the long-term fiscal projection results will be announced in March next year, and based on this, a reform plan for the National Pension system will be announced in October." Accordingly, the schedule for the National Assembly to begin full-scale legislative review is expected to be around early next year.

After announcing the long-term fiscal projection results related to pensions in March next year, the government plans to present a reform plan around October based on this discussion and then begin full-scale legislative review.

However, this schedule differs in pace from that of the Pension Reform Special Committee, which has already started discussions on pension reform. The Pension Reform Special Committee previously formed a private advisory committee at its second meeting. According to the promotion schedule decided at that time, the private advisory committee was to present multiple pension reform proposals to the special committee by the end of January next year. Based on this, the special committee planned to actively promote pension reform in the first half of next year. The special committee's activity deadline is also set for April 30 of next year.

The National Assembly's haste in advancing the special committee's schedule reflects the fact that delays would coincide with the 2024 general election schedule, making it difficult to push reforms.

[Image source=Yonhap News]

Kim Seong-ju, the Democratic Party's secretary of the special committee, said in a phone interview with this paper, "If the government releases its plan in October next year, by then the National Assembly will be in election mode, so will there be time to legislate?" He added, "What is the role of the ongoing Pension Reform Special Committee and the private expert committee? If the government releases a plan, we can just discuss that, so the question arises as to why the National Assembly special committee is needed," expressing concern.

Kim Seong-hwan, chairman of the Democratic Party's Policy Committee, criticized on MBC Radio on the 16th, "The government is not releasing a plan and is basically saying, 'Let the Pension Reform Special Committee handle it.' It's like saying, 'Handle it yourselves in the National Assembly'." Kim pointed out, "(Pension reform) is truly a difficult task to coordinate, so the government needs to responsibly present a plan and also collaborate together."

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