On the 2nd, President Lee Jae-myung voted on the so-called 'Stronger' Commercial Act amendment and the Yellow Envelope Act (Labor Unions and Labor Relations Adjustment Act amendment), while a request for expeditious movement on the 'relaxation of the crime of breach of trust' emerged from the Cabinet meeting as a countermeasure to alleviate business concerns. Given the severe conflict between labor and management even before the law is enacted, it calls for accelerating the acceptance of demands from the business community, such as the easing of economic penalties. The Presidential Office indicated it would actively pursue this without distinguishing between 'relaxation or abolition.'
Following President Lee's directive to eliminate 'barriers between ministries,' Minister of Labor Kim Young-hoon is set to attend a meeting with the Korea Enterprises Federation (KEF) on the 3rd. The intent is to directly listen to the difficulties faced by the business community instead of only representing the union's position.
According to Spokesperson Kang Yu-jung, Minister of Trade, Industry and Energy Kim Jeong-gwan conveyed the concerns of corporations regarding the Commercial Act amendment and the Yellow Envelope Act in a closed Cabinet meeting. Minister Kim noted, "Corporations are the main entities of growth and investment, and they want a rational and predictable environment to resolve uncertainties," adding, "It would be ideal if there is a flow where legislation such as the relaxation of the crime of breach of trust is prepared more quickly to achieve a balance between labor and management." He also stated, "We need to find points where the burden placed on corporations can be eased."
President Lee said, "If barriers between ministries arise, workers and corporations will end up fighting each other," suggesting, "This is an issue that ministers should vigorously discuss at the Cabinet meeting. If entrepreneurs and workers in the field fight based on their identities without restraint, it will lead to much more complicated issues." He then asked for Minister Kim Young-hoon's opinion on this matter. In response, Minister Kim acknowledged, "I fully understand and empathize with the Minister of Industry's comments," and confirmed that he would attend the KEF meeting.
◇Ruling party says 'outright abolition' while presidential office says 'no distinction between relaxation and abolition'
The Democratic Party of Korea is also considering abolishing the crime of breach of trust. During a press briefing before the launch ceremony of the 'Economic Penalty and Civil Liability Rationalization' task force, Floor Leader Kim Byeong-ki stated, "There is no doubt that there are issues with the crime of breach of trust," adding, "I believe fundamentally the crime of breach of trust should be abolished." Spokesperson Kang responded by saying, "The President does not make a significant distinction in terms of relaxation or outright abolition regarding the crime of breach of trust."
There were several remarks urging the labor unions to adopt a spirit of 'coexistence.' President Lee remarked, "For workers to exist, corporations must also exist, and for a stable management environment, cooperation from workers is prerequisite." This statement appears to be aware of criticisms that the second Commercial Act amendment and the Yellow Envelope Act are 'anti-corporation laws.' He further stated, "Just as a bird flies with two wings, both corporations and labor are important," and added, "We must not commit the folly of killing the cow while trying to straighten its horns."
The main points of the Commercial Act amendment approved in the Cabinet meeting include ▲mandatory cumulative voting ▲strengthening the election of auditors. Led by the ruling party, the amendment, which includes 'the duty of directors to be faithful to shareholders,' has passed the National Assembly and contains even stronger sanctions. The Yellow Envelope Act expands the scope of employers and labor disputes ▲and restricts claims for damages against striking workers. The Act will come into force one year and six months respectively from the date of promulgation.