Enforcing Disadvantages

Lee Yong-sup, vice chairman of the Job Creation Committee,Korea said on June 1 Korea’s large businesses hiring an excessively large number of temporary workers may be subject to pecuniary disadvantages.
Lee Yong-sup, vice chairman of the Job Creation Committee,Korea said on June 1 Korea’s large businesses hiring an excessively large number of temporary workers may be subject to pecuniary disadvantages.

 

Lee Yong-sup, vice chairman of the Job Creation Committee of South Korea said on June 1 that large businesses hiring an excessively large number of temporary workers may be subject to pecuniary disadvantages down the road and the South Korean government will work on a roadmap through an on-site survey in order to turn temporary positions in the public sector into full-time jobs.

“Administrative systems to that end will be completed within a couple of months so that tasks which can be handled by the government alone can be handled without any delay and, at the same time, a roadmap covering a period of five years will be prepared for long-term tasks,” the committee remarked, adding, “The government is planning to create at least 810,000 jobs in the public sector while minimizing regulations and expanding its support for small firms and startups in the private sector.”

According to the committee, its task force for reducing the number of temps in the public sector is going to conduct the survey soon to come up with the roadmap. In addition, it is planning to conduct a similar survey in the private sector so that temps can be hired only in certain cases that are deemed reasonable.

The business community raised an objection, claiming that the pecuniary disadvantages will exacerbate their business conditions. Three opposition parties – Liberty Korea, People’s and Bareun – raised an objection as well while opposing the government’s plan to prepare a supplementary budget for job creation, claiming that the budget does not comply with the National Finance Act.

The business community’s opposition to the disadvantages is based on the fact that most of the temps expected to benefit from the measure are not those directly employed by large corporations but those working for smaller companies in partnership with the corporations. Still, its opposition is currently rather modest. This is because the Korea Employers Federation has already been given a warning from President Moon Jae-in for its expression of concerns about the same issue.

 

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