Safe Freight Rates System vs Flexible Working Hours... Ruling and Opposition Parties Face Second Round Over 'Sunset Law'

Cargo Truck Safety Freight Rate System and Flexible Work System for Under 30 Employees Ending by Year-End
Attention on Possible Comprehensive Resolution Ahead of Plenary Session Scheduled for 28th

[Asia Economy reporters Naju-seok and Kim Young-won] Although the year-end budget bill was barely passed, the National Assembly is inevitably facing a standoff over the ‘sunset laws’ that expire this year. Sunset laws refer to laws that automatically expire after a predetermined period unless the legislative body takes separate action. Both ruling and opposition parties agree that the sunset laws must be amended before the year ends. However, due to the tight deadline and significant differences in positions on specific issues, a solution through a ‘package deal’ approach is likely to be pursued.

According to the National Assembly on the 26th, the ruling and opposition parties, which barely succeeded in agreeing on the budget bill ahead of Christmas, have quickly shifted to a confrontational stance. The extension of the sunset laws, which will lose effect if not processed within the remaining five days of this year, is facing difficulties.

Joo Ho-young, floor leader of the People Power Party, said at the party’s emergency committee meeting held at the National Assembly that "a plenary session is scheduled for the 28th, and there are sunset laws that must be processed," adding, "Among them, the bill that must be processed is maintaining the flexible working hours system of 8 hours within the 52-hour workweek."

Floor leader Joo said, "Currently, 91% of companies with fewer than 30 employees adopt the flexible working hours system (which allows an additional 8 hours extension), but 76% have no measures regarding the sunset," expressing concern that "(if the law expires) there will be a crisis in the labor market of small and medium-sized enterprises." He warned, "The Democratic Party seems to be linking this to other laws without promising to pass it," and added, "If the sunset is not extended and a crisis occurs in companies with fewer than 30 employees from early next year, it will be entirely the Democratic Party’s responsibility."

[Image source=Yonhap News]

Park Hong-geun, floor leader of the Democratic Party of Korea, called for a special prosecutor law regarding First Lady Kim Keon-hee at the Democratic Party’s Supreme Council meeting held at the National Assembly on the same day. Park said, "The recording of President Yoon’s mother-in-law, Choi Eun-soon, has been released, and it has already been revealed during the trial that Mrs. Kim and her daughter frequently received insider information from former chairman Kwon Oh-soo, the main culprit of the Deutsche Motors stock manipulation," adding, "If Yoon Seok-yeol’s prosecution continues to ‘look the other way’ for the living power, our party has no choice but to clarify the truth through a special prosecutor."

Earlier, on the 23rd, the floor leaders of both parties agreed on the plenary session schedule for the 28th to process the National Health Insurance Act, the National Health Promotion Act, the Freight Truck Transportation Business Act, the Labor Standards Act, and the Korea Gas Corporation Act. However, separate agreements on the processing of each bill have not been reached beyond the schedule.

There are significant differences between the ruling and opposition parties on each issue. Currently, the Freight Truck Transportation Business Act amendment, which passed the Land, Infrastructure and Transport Committee on the 9th, has been referred to the Legislation and Judiciary Committee. This law includes extending the freight truck safe freight rate system, which expires at the end of this year, for three more years at the current level. The problem is that the ruling party, citing strikes by the Cargo Solidarity Union and others, has changed its original position of extending the safe freight rate system for three years and is demanding a re-examination from scratch. The opposition party processed the related law unilaterally in the Land, Infrastructure and Transport Committee, but it is difficult to pass the Legislation and Judiciary Committee.

[Image source=Yonhap News]

The sunset extension of the additional 8-hour flexible working hours system, which floor leader Joo is concerned about, will be discussed on the afternoon of the 26th at the Employment Bill Subcommittee of the Environment and Labor Committee. The People Power Party insists on extending the sunset for two more years, while the Democratic Party has expressed that the sunset should be abolished and alternatives discussed. The Democratic Party’s recent mention of the difficult circumstances of marginal companies leaves room for negotiation.

The amendment to the National Health Insurance Act, which includes extending government subsidies for health insurance, also needs to be watched. The People Power Party’s position is to extend the sunset for five years and then improve the system, whereas the Democratic Party has argued for abolishing the sunset provision altogether and providing permanent government subsidies. Jang Dong-hyuk, spokesperson for the People Power Party floor, said, "Nothing has been decided yet," and added, "We need to negotiate."

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