"'Real Boss' Negotiation Rights Specified"... 'Yellow Envelope Act' Passes Labor Committee Subcommittee Amid Ruling Party Opposition

Expansion of User Scope and Union Strikes
4 from Democratic Party and 5 from Justice Party in Favor, 3 from People Power Party Opposed
Ruling Party All Opposed...Demand Formation of Agenda Adjustment Committee

[Asia Economy Reporter Park Jun-yi] On the 15th, the National Assembly Environment and Labor Committee passed the 'Yellow Envelope Act (Amendment to Articles 2 and 3 of the Labor Union and Labor Relations Adjustment Act)' at the Employment and Labor Law Review Subcommittee despite opposition from ruling party lawmakers. The amendment includes expanding the scope of employers such as primary contractors and broadening the category of labor disputes that had been previously defined as illegal acts.

Members of the Environment and Labor Committee approved an alternative amendment to Articles 2 and 3 of the Labor Union Act at the subcommittee on the same day. The bill passed the subcommittee with 5 votes in favor (4 from the Democratic Party of Korea and 1 from the Justice Party) and 3 against (all 3 from the People Power Party). Kim Young-jin, the Democratic Party lawmaker and secretary of the Environment and Labor Committee, stated in a back briefing after the meeting, "Today, the Employment and Labor Subcommittee thoroughly discussed and decided on Articles 2 and 3 of the Labor Union Act, which had been debated for a long time."

The amendment includes expanding the definition of 'employer.' Article 2, Clause 2 of the Labor Union Act was revised to broaden the scope of employers to include 'persons who, even if not a party to the employment contract, have a position to substantially and concretely control or determine the working conditions of workers.' Lawmaker Kim explained, "This provision is amended exactly as it has been based on Supreme Court precedents, administrative court precedents, and numerous labor field precedents over the past 12 years, so it is necessary for legal stability and to lead industrial changes on the ground, and there is a need to resolve more disputes at the National Assembly level. I believe that if the primary contractor of Daewoo Shipbuilding & Marine Engineering, the 'real boss' with all decision-making authority, had responded to negotiations during the Daewoo Shipbuilding strike, the strike would not have prolonged and caused managerial losses."

A meeting of the Subcommittee on Employment and Labor Law under the Environment and Labor Committee was held on the 15th in the Environment and Labor Committee's small conference room at the National Assembly. During the meeting, partial amendment bills to the Labor Union and Labor Relations Adjustment Act, revising Articles 2 and 3 of the Trade Union Act, were reviewed. Photo by Hyunmin Kim kimhyun81@

Regarding the scope of labor disputes in Article 2, Clause 5 of the Labor Union Act, the amendment restores the phrase 'working conditions' from 'determination of working conditions.' As a result, many labor disputes that had been considered illegal strikes will now be recognized as legal strikes. By restoring the original phrase 'of working conditions,' the amendment clarifies the scope of working conditions and the subject of dispute actions.

Article 3, Clause 2 of the Labor Union Act includes provisions on liability and scale of damages. It states that when recognizing liability for damages caused by collective bargaining, dispute actions, or other union activities, the scope of individual responsibility must be determined separately, improving the issue of joint liability in damage claims.

Additionally, Clause 3 adds that guarantors are not liable for damages arising from union activities such as collective bargaining and dispute actions.

Regarding the passage of the bill, Lee Eun-joo, a Justice Party member of the Environment and Labor Committee, held a press conference at the National Assembly and responded, "This amendment to the definition of employer in the Labor Union Act is a significant advancement that allows millions of indirectly employed workers, who have been deprived of labor rights due to changes in industrial structure, to enjoy the constitutionally guaranteed three labor rights." However, she expressed regret that provisions limiting abuse of damage claims and capping compensation amounts were not included.

[Image source=Yonhap News]

Meanwhile, all People Power Party lawmakers participating in the subcommittee voted against the alternative proposed by the Democratic Party. Im Eui-ja, the People Power Party lawmaker and ruling party secretary of the Environment and Labor Committee, said after the meeting, "I absolutely cannot agree. When amending laws, legal stability and predictability must be considered, but labor laws are interconnected, so if one law is disrupted, all are affected. I have never seen such a forceful push." It was reported that ruling party members submitted a request for agenda adjustment on the day.

If the ruling party requests an agenda adjustment committee, it is expected to be composed of 3 members from the Democratic Party, 2 from the People Power Party, and 1 from the Justice Party. Lee Su-jin, a Democratic Party member of the Environment and Labor Committee, explained, "If an agenda adjustment committee is requested, it must be convened, and if a conclusion is reached there, it is expected to be voted on at the plenary session on the 21st."

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