Tensions are rising in the political arena surrounding the 'yellow envelope law' (amendments to Articles 2 and 3 of the Trade Union and Labor Relations Adjustment Act). The Ministry of Employment and Labor is reported to be reviewing a revised proposal, prompting backlash from the labor sector and progressive parties. They criticized it as a 'retreat that undermines the intent of the bill,' while the ruling Democratic Party of Korea noted that 'the current realities also need to be taken into account' and stated that it would discuss the bill during the review process.
The core of the controversy is the amendment to Articles 2 and 3 of the labor law that the Ministry of Employment and Labor is said to be reviewing. The amendment that had previously passed the National Assembly focused on ▲expanding the definition of actual users (strengthening the responsibilities of primary contractors) ▲restricting damages claims ▲expanding the scope of industrial actions, but it is reported that the Ministry is considering narrowing the 'scope of recognized industrial actions' and the 'scope of restricted damages claims.'
According to the political sector and labor community, the existing proposal recognized 'disputes regarding the determination of working conditions' as industrial disputes and included matters such as violations of collective agreements and the reinstatement of dismissed workers as subjects for industrial actions. However, it is reported that the Ministry's proposal has removed the expression 'determination.' Furthermore, while the existing proposal mandated a prohibition on damage claims related to users' illegal acts in general, the Ministry's proposal is said to limit this to only 'unfair labor practices.' Additionally, it is known that the Ministry's proposal calls for regulations on the scope of collective bargaining and industrial procedures to be determined by enforcement ordinances and to postpone the implementation date from the existing 6 months to 1 year.
Members of the Progressive Party expressed, 'We cannot accept this retreat bill.' On the 24th, Progressive Party lawmakers Jeong Hye-kyung, Jeon Jong-deok, and Son Sol, along with independent lawmaker Yoon Jong-o, visited the office of the Chairperson of the National Assembly's Environment and Labor Committee to meet with Chairperson Ahn Ho-young of the Democratic Party of Korea. They raised their voices, stating, 'The Ministry of Employment and Labor's proposal is a greater retreat than the bill during Yoon Suk-yeol's administration,' and 'We cannot step back even a letter.'
At the 'Discussion on the Justification of Amendments to the Labor Law Articles 2 and 3' held in the National Assembly the same day, Hong Ji-wook, Vice Chairperson of the Korean Confederation of Trade Unions (KCTU), warned, 'The Democratic Party seems to be showing signs of retreating from the bill they had passed as party policy during the Yoon Suk-yeol government,' adding, 'If this is true, the KCTU will mobilize all possible actions starting tomorrow.'
The discussion originally aimed to reaffirm the need for amending the labor law has effectively turned into a declaration of the KCTU's all-out struggle, following the revelation of the Ministry's revision proposal. The KCTU announced that it would launch a nationwide struggle, including an emergency press conference on the 28th in front of the National Assembly, urging the immediate passage of the 'Amendment to Article 23 of the Labor Law.'
The Democratic Party of Korea appears somewhat troubled. As the government prioritizes restoring the economy, President Lee Jae-myung emphasizes 'the spirit of a unified team working together with the government and corporations,' but it cannot completely ignore concerns from the business sector regarding the yellow envelope law as it did when it was in the opposition.
Previously, on the 14th, the six economic groups suggested during a meeting with the Democratic Party-affiliated members of the Environment and Labor Committee that 'the yellow envelope law expands the meaning of the user into an abstract and ambiguous concept, making it impossible for primary contractors to respond individually when a subcontractor's union demands negotiations.' In response, Commissioner Ahn said, 'It is the responsibility of the Environment and Labor Committee to prepare a reasonable and swift alternative that can be accepted by management, labor, and the public.'
The Democratic Party of Korea's position is to maintain the three core pillars of the bill: ▲expanding the definition of actual users ▲limiting liability for damages ▲expanding the scope of industrial actions. However, it is believed that a level of adjustment to supplement 'legal consistency' considering the concerns of management and practical conditions is necessary.
During a meeting with Progressive Party lawmakers, Commissioner Ahn stated, 'Our party's fundamental position is that we should discuss the bill from when the veto was exercised in 2024,' adding, 'However, it is a situation where aspects such as practical application and legal consistency also need to be examined.'
The Democratic Party of Korea aims to submit the yellow envelope law to the plenary session on the 4th of next month, but the decision is likely to remain fluid depending on negotiations with the government and opposition parties. The Democratic Party plans to integrate governmental and internal opinions by the end of this month and begin review by the Legislative Affairs Committee.
In a call with ChosunBiz, Commissioner Ahn said, 'This issue should be reviewed in the subcommittee on the bill. We need to observe it,' thus being cautious in his comments.