The Korea Federation of Micro Enterprise (KFME) welcomed the introduction of a bill to amend the Microenterprise Basic Act, centered on granting collective bargaining rights to microenterprise groups, and urged the National Assembly to pass the bill swiftly.
The Korea Federation of Micro Enterprise (KFME) issued a commentary on the 23rd, saying, "This amendment is a bill that gives microenterprises, who had to shed tears amid the tyranny of giant platforms and conglomerates, 'a weapon to respond together,'" and noted, "We expect it to be a sure turning point to correct market imbalances."
Earlier, a revision bill spearheaded by lawmaker Oh Se-hee of the Democratic Party of Korea grants microenterprise groups the right to request negotiations over changes to transaction terms and imposes a duty of good-faith bargaining on the counterpart that receives such a request. It also bans disadvantageous measures on the grounds of forming, joining, or engaging in group activities and includes a plan to allow applications for mediation to the Ministry of SMEs and Startups in the event of a dispute.
The federation particularly took note of the inclusion of an exception to ensure that joint responses by microenterprises are not interpreted as unfair concerted actions (collusion) under the Fair Trade Act. Given that there had been legal constraints when small microenterprises raised their voices collectively to improve transaction terms, the federation said this amendment is expected to provide practical help in easing bargaining power imbalances.
The federation said, "The introduction of this bill is not a simple strengthening of regulations but a genuine starting point for win-win cooperation to build a healthy market ecosystem where conglomerates and microenterprises are equal partners," adding, "It is a meaningful step forward that institutionally guarantees the bargaining power of microenterprises."
The federation also emphasized, "Bipartisan cooperation by the ruling and opposition parties is needed so that the amendment can be discussed and processed swiftly in the National Assembly and take root in the field," and, "During the legislative process, the scope of collective bargaining rights and the entities that exercise them should be defined more clearly to enhance the effectiveness of the system."
The federation said that if collective bargaining rights are introduced in the future, it will exercise them responsibly to prevent abuse and to protect the legitimate rights and interests of microenterprises and establish a fair transaction order.