The Financial Supervisory Service (FSS) labor union argued that the Financial Consumer Protection Agency should be established as an independent organization within the FSS. It opposed the plan from the Presidential Committee on Policy Planning to separate the Financial Consumer Protection Agency from the FSS and establish it as a separate entity, citing 'overlapping functions.'
On the 7th, the FSS labor union proposed a reform plan that would make the Financial Consumer Protection Agency an independent organization within the FSS in a statement titled 'Suggestions to the President Regarding the Reform of the Supervisory System.'
The union claimed that separating the Financial Consumer Protection Agency from the FSS would weaken consumer protection functions due to 'overlapping functions' and 'avoiding responsibility.' It stated that the Financial Consumer Protection Agency should remain within the FSS while simultaneously elevating the status of the Head of the Financial Consumer Protection Agency to be equal to that of the FSS Commissioner and ensuring independent operation of budget and workforce.
The union suggested reforming the Financial Consumer Protection Agency by referencing the past case of the Banking Supervisory Service. The Banking Supervisory Service operated as an internal organization of the Bank of Korea, performing duties such as bank supervision and inspection under the direction of the Monetary Policy Committee. It had independent personnel and budget authority separate from the Bank of Korea, and personnel exchanges with the Bank occurred when necessary. It was integrated into the FSS in 1998.
The union stated that by significantly enhancing the supervisory and inspection authority of the Financial Consumer Protection Agency, it could maintain the advantages of an integrated supervisory body while simultaneously achieving a stronger consumer protection.
The union noted, 'The functional independence of the Financial Consumer Protection Agency is the best alternative that can simultaneously harness the advantages of an integrated supervisory body maintained for 27 years while enjoying the effects of separating consumer protection functions.'