Economic 6 Organizations: "If the Yellow Envelope Act Passes, Labor-Management Disputes Will Cause Turmoil Throughout the Year"

Joint Statement by Six Economic Organizations Opposing the Labor Union Act Amendment Bill

The business community has strongly expressed opposition ahead of the National Assembly's submission of the amendment to the Labor Union Act (commonly known as the Yellow Envelope Act). The six major economic organizations condemned the amendment as a harmful law that would destroy the industrial ecosystem and even threaten jobs for future generations.

On the 8th, the six economic organizations (Korea Employers Federation, Korea Chamber of Commerce and Industry, Korea International Trade Association, Korea Economic Association, Korea Federation of Small and Medium Business, and Korea Federation of Medium-sized Enterprises) issued a joint statement. In the joint statement, the business community said, "If the amendment passes, the industrial field will fall into extreme chaos," and "We have repeatedly appealed that our companies will not be able to conduct business normally."

On the 8th, Lee Dong-geun, Executive Vice President of the Korea Employers Federation, is making a statement at a joint press release by six major economic organizations urging the suspension of the legislative process for the amendment of the Labor Union Act held at the National Assembly.
[Photo by Kyungchong]

First, the business community cited the collapse of the industrial ecosystem as the reason for requesting a halt to the legislation. They argued that the amendment would destroy the industrial ecosystem between primary and subcontractors and could lead to job losses for subcontractor workers. The amendment expands the concept of the employer in labor contracts. It allows the primary contractor, who is not a party to the contract, to be involved as a party in labor relations and become a target of labor disputes.

The business community also noted that the amendment broadens the concept of labor disputes. They expressed concern that limiting the liability of unions for damages could turn industrial sites into lawless zones with violence and illegal occupations. The six organizations stated, "The amendment effectively prevents claims for damages even if unions engage in illegal acts," and "The industrial field will suffer from labor disputes and illegal acts throughout the year."

They continued, "The amendment to the Labor Union Act will ruin our labor-management relations, shake the industrial ecosystem to its roots, and threaten jobs for future generations," and appealed, "The National Assembly must stop pushing the legislation now to prevent the collapse of the country's companies and economy."

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