The "metropolitan visa" program, which lets metropolitan local governments attract foreign talent and help them settle by reflecting local industry traits and demand, will be overhauled. Local governments will be allowed to co-design study and work visas, and the foreign inflow quota will be reduced.
The Ministry of Justice said it will invite applications for the "2027–2028 metropolitan visa full program" from the 24th through Nov. 10. The metropolitan visa program was piloted for two years from March last year through this year.
Metropolitan local governments, except Daejeon and Sejong, took part in the pilot. As of last month, 2,665 foreigners are staying in the country under the program.
◇ Concerns raised that low-wage foreign labor flowing into shipbuilding will hurt the local economy
Since the second half of last year, when the metropolitan visa pilot program began, concerns have emerged that an influx of low-wage foreign labor, centered on shipbuilding, would negatively affect local industries and the economy. President Lee Jae-myung instructed at a Cabinet meeting in February, "As it is questionable whether the metropolitan visa has positive effects in terms of developing specific industries and revitalizing local economies, review whether to maintain the system."
A Ministry of Justice survey of 617 people conducted in April–May, including businesspeople and university officials in Ulsan, South Gyeongsang, Busan, Gwangju, South Jeolla, and Gangwon; local small business owners; local government officials; and foreign workers and international students, found they viewed the metropolitan visa as helping to revitalize local economies and positively easing population decline. They also perceived it as helping fill labor gaps, with limited impact on domestic jobs and wages.
However, many international students were enrolled in humanities majors unrelated to local industries, making it difficult for them to settle after graduation, critics said. Except for shipbuilding in Ulsan and South Gyeongsang, foreign workers were not aligned with local strategic industries. There were also concerns that some universities were recruiting international students eligible for part-time work and exploiting this as a means to secure finances for local universities.
◇ Incentives for visa conversion if international students work in designated industries after graduation
To curb side effects of the metropolitan visa, the Ministry of Justice will require local governments to conduct surveys of foreign labor demand in local industries from the design stage and submit proposals after gathering differing views from stakeholders, including industry and labor.
It will also allow metropolitan local governments to co-design the study visa (D-2) and the specific-activity work visa (E-7). The intake per metropolitan local government will be reduced from 60–1,000 people to 50–200, and the total intake will be cut from the previous maximum of 6,790 to 3,000.
The metropolitan study visa will be redesigned into a local talent growth visa based on industry demand. International students who, after graduation, find jobs in designated industries will receive incentives to convert to a metropolitan specific-activity visa. In addition, spouses of foreign workers holding a specific-activity visa will be allowed to work within the region.
Minister Jung Sung-ho of the Ministry of Justice said, "While leveraging foreign talent is necessary to resolve labor shortages in local industries, we must also examine potential impacts on people's jobs and wages and on local communities," adding, "This overhaul aims to more precisely select the talent local industries need and to improve the system so it responsibly connects study, employment, accompanying family members, local settlement, and consumption."