Business Community Condemns Passage of Labor Union Act Amendment... Recommends Presidential Veto

The business community condemned the passage of the amendment to the Labor Union Act (commonly known as the Yellow Envelope Act) in the National Assembly plenary session and recommended that the president exercise the veto power. The business sector expressed concerns that the amendment would undermine the industrial ecosystem between primary and subcontractors and cause ongoing labor disputes in the industrial field.

On the 13th, Sohn Kyung-shik, Chairman of the Korea Employers Federation, held a press conference with economic organization officials at the Press Center in Jung-gu, Seoul, announcing the "Joint Statement Condemning the Deterioration of the Labor Union Act and Proposing the Exercise of Veto Power." From left to right: Woo Tae-hee, Vice Chairman of the Korea Chamber of Commerce and Industry; Choi Jin-sik, Chairman of the Federation of Medium-sized Enterprises; Chairman Sohn; Kim Ki-moon, Chairman of the Korea Federation of Small and Medium Business; Kim Chang-beom, Executive Vice Chairman of the Korea Economic Association; and Kim Go-hyun, Executive Director of the Korea International Trade Association. Photo by Kang Jin-hyung aymsdream@

On the morning of the 13th, 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) held a joint press conference at the Korea Press Center in Jung-gu, Seoul, to announce a "Joint Statement Condemning the Deterioration of the Labor Union Act and Requesting the Exercise of Veto Power." At the event, the six economic organizations stated, "We strongly condemn the opposition party for ignoring the opinions of the business community and passing the deteriorating bill that endangers the national economy based on political calculations."

They added, "The only way to prevent the economic crisis that the bill will bring is for the president to exercise the veto power," and "We earnestly urge the president to prevent the collapse of the country's companies and economy by exercising the veto power."

The business community evaluated the bill as one that justifies labor disputes against primary contractors and excessively protects extreme illegal labor disputes by unions. They pointed out, "The greatest victims will be small and micro workers whose jobs are threatened and future generations."

The amendment considers a person who is not a party to the employment contract but is in a position to "substantially and specifically control or determine working conditions" as an employer. Regarding this, the business community argued, "Since the domestic industry is composed of various collaborative systems by industry, if continuous labor disputes occur against primary contractors, the primary contractors may sever transactions with domestic partner companies or relocate overseas," adding, "Ultimately, workers at partner companies will lose their jobs."

On the 13th, Sohn Kyung-shik, Chairman of the Korea Employers Federation, held a press conference with economic organization officials at the Press Center in Jung-gu, Seoul, and announced the "Joint Statement Condemning the Deterioration of the Labor Union Act and Proposing the Exercise of Veto Power." From the left: Woo Tae-hee, Vice Chairman of the Korea Chamber of Commerce and Industry; Choi Jin-sik, Chairman of the Federation of Medium-sized Enterprises; Chairman Sohn; Kim Ki-moon, Chairman of the Korea Federation of Small and Medium Business; Kim Chang-beom, Executive Vice Chairman of the Korea Economic Association; and Kim Go-hyun, Executive Director of the Korea International Trade Association. Photo by Kang Jin-hyung aymsdream@

Furthermore, the business community pointed out that the bill excessively expands the concept of 'labor disputes.' They stated, "The bill significantly expands the scope of collective bargaining and strike targets to include high-level management decisions and ongoing litigation cases," adding, "As a result, the industrial field will be engulfed in labor disputes throughout the year."

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