[Asia Economy reporters Naju-seok and Park Jun-i] The National Assembly's Environment and Labor Committee will discuss the "Yellow Envelope Act (Amendment to Articles 2 and 3 of the Labor Union and Labor Relations Adjustment Act)" at the Employment and Labor Bill Review Subcommittee on the 15th. The Democratic Party of Korea and the Justice Party plan to pass the Yellow Envelope Act even if it means doing so unilaterally at the subcommittee meeting.


A Democratic Party official told Asia Economy in a phone interview on the same day, "We plan to have sufficient discussions at today's subcommittee meeting and then make a final decision at the end of the subcommittee before processing the bill." The official also hinted at the possibility of unilateral passage if ruling party members of the committee are absent.


Until last year, the Democratic Party showed a lukewarm attitude toward processing the bill. In November last year, Kim Seong-hwan, the policy chief, said at a press briefing, "The Yellow Envelope Act can be processed during the regular session, but we do not have the view of forcing it through recklessly," emphasizing the importance of finding the greatest common denominator and processing it reasonably in agreement with the ruling party.


In response, the labor sector expressed doubts about whether there was a genuine will to care for people's livelihoods and urged the bill's passage within this extraordinary session of the National Assembly, even starting an indefinite hunger strike. The Justice Party has made the Yellow Envelope Act its party policy since September last year and has been holding sit-ins in front of the National Assembly for about two months since November, urging legislative enactment.


The atmosphere changed from last month. The turning point in the discussion was the first trial ruling by the Seoul Administrative Court on CJ Logistics on the 12th of last month. In that trial, the court ruled that CJ Logistics' refusal to engage in collective bargaining with delivery workers was an "unfair labor practice." After the ruling, momentum for legislative promotion grew within the Democratic Party. Democratic Party members of the Environment and Labor Committee held a forum titled "The Direction of Labor Union Law Amendments Implied by the CJ Delivery Workers' First Trial Ruling" and accelerated efforts to create a unified party proposal. Regarding this, a Justice Party official explained, "Within the Democratic Party, except for some members, there was a strong opposition to the 'definition of employer scope (Article 2 of the Labor Union Act),' and this CJ ruling served as one basis and a turning point."


On November 30 last year, at the Employment and Labor Law Review Subcommittee of the Environment and Labor Committee held at the National Assembly, when the opposition parties including the Democratic Party of Korea proposed the Yellow Envelope Act, Im I-ja, a member of the People Power Party, protested and left the meeting room. Photo by Yoon Dong-joo doso7@

On November 30 last year, at the Employment and Labor Law Review Subcommittee of the Environment and Labor Committee held at the National Assembly, when the opposition parties including the Democratic Party of Korea proposed the Yellow Envelope Act, Im I-ja, a member of the People Power Party, protested and left the meeting room. Photo by Yoon Dong-joo doso7@

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Democratic Party members of the Environment and Labor Committee have voiced that since the scope of employers has already been discussed through court precedents, the law should catch up with reality. Lee Su-jin, a member of the Environment and Labor Committee who has reviewed the bill at the Employment and Labor Bill Review Subcommittee, told this outlet, "Regarding the expansion of the employer concept, there are already precedents, and considering the constitutional value of the three labor rights that must be protected, Supreme Court precedents should be fully reflected."


Democratic Party members of the Environment and Labor Committee believe that after three rounds of discussions at the bill subcommittee, substantial discussions on this law have been made. Democratic Party lawmaker Yoon Geon-young said, "This bill has been delayed for a long time, and procedural steps have already been taken, so there is sufficient consensus to stop delaying and start serious discussions."


So far, many differences have been narrowed. Regarding the core contents of the Yellow Envelope Act?the expanded scope and method of employers, the scope of labor disputes, and the limits on damage claims?there were differences not only between the Democratic Party and the Justice Party but also within the Democratic Party itself. The Democratic Party has prepared an internally unified proposal on this matter. Lee said, "The Democratic Party has reached internal consensus on the proposal," adding, "Since we have discussed it for several months at the subcommittee, if People's Power subcommittee members are absent, the remaining members will discuss it," expressing willingness to process the bill.


However, the Justice Party is concerned that the Democratic Party may narrowly define the scope of employer regulations. The bill previously proposed by the Justice Party broadly recognizes corporate employer status for subcontractors, special employment workers, and platform workers and expands the scope of legally recognized strikes. A Justice Party official said, "Although the Democratic Party has shown a stance to revise the employer scope regulations, it does not seem to be a progressive expansion," adding, "The extent of the limited scope will be important."


Academia and labor sectors are concerned that if the bill's passage is delayed despite existing court precedents, social confusion may only worsen. Park Soo-geun, a professor at Hanyang University Law School and former chairman of the Central Labor Relations Commission, expressed at a forum, "If the Yellow Envelope Act is not legislated, conflicts between companies and unions will occur, and labor-management relations could intensify." The legal community also worries that even with precedents, if legislation is not enacted, both labor and management will repeatedly turn to the courts, potentially waiting five to six years for a Supreme Court ruling.


However, there is also an interpretation that political motives underlie the determination to push the Yellow Envelope Act. With the possibility of an arrest warrant request for Lee Jae-myung, leader of the Democratic Party, the opposition party may be trying to rally support from labor groups while demonstrating its power in the legislature. The Democratic Party, which advocates for a "double special investigation" regarding First Lady Kim Geon-hee and the Daejang-dong scandal, is rumored to be linking with the Justice Party through the Yellow Envelope Act. Both sides deny any deal, but in April 2019, the two parties agreed to designate the fast-track process by linking police and prosecution investigation rights adjustment, the establishment of the Corruption Investigation Office for High-ranking Officials, and election law amendments. For the special investigation law's fast-track designation, the Democratic Party requires the Justice Party's votes as an essential condition.



Meanwhile, if the Yellow Envelope Act passes the subcommittee today, it is highly likely to be processed at the full Environment and Labor Committee meeting on the 21st. However, it is expected to face obstacles at the Legislation and Judiciary Committee, chaired by the ruling party. In that case, attempts to refer the bill directly at the standing committee level are anticipated.


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

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