Thursday, October 30, 2025

Minister Kim Young-hoon: "Business Circles Hesitate Over Yellow Envelope Act Simulation Talks, While Labor Is Ready" [First Parliamentary Audit Under Lee Administration]

Input
2025-10-30 11:14:42
Updated
2025-10-30 11:14:42
Minister Kim Young-hoon of the Ministry of Employment and Labor (MOEL) attended the National Assembly of the Republic of Korea on the 15th for a parliamentary audit by the Climate, Energy, Environment and Labor Committee, responding to questions from lawmakers. Yonhap News

[Financial News] Ahead of the implementation of the Yellow Envelope Act, Minister Kim Young-hoon of the Ministry of Employment and Labor (MOEL) commented on the government’s planned simulation of bargaining between principal contractors and subcontractors, stating, "Labor is ready, but it is true that companies are hesitant to participate."
On the 30th, during a comprehensive audit of MOEL by the Climate, Energy, Environment and Labor Committee at the National Assembly of the Republic of Korea, Minister Kim responded to a question from Park Jung of the Democratic Party of Korea (DPK), who asked, "Isn’t it difficult to recruit companies to participate in the simulated bargaining between principal and subcontractors?"
Minister Kim pointed out, "The business community is greatly concerned about Articles 2 and 3 of the Trade Union and Labor Relations Adjustment Act, and it is true that they are reluctant for their companies to take the lead."
MOEL has announced plans to establish guidelines related to the revised Trade Union and Labor Relations Adjustment Act by the end of this year. As early as next year, the ministry aims to launch simulated bargaining sessions involving both labor and management, providing reference cases for other companies.
Representative Park suggested, "It is understandable that companies are apprehensive about being the first to participate in a newly implemented system. We could consider offering incentives to companies that take the initiative. This would help alleviate concerns in the business community and reduce trial and error."
Park further inquired, "What measures are being prepared regarding potential conflicts with the current Single Bargaining Channel System, as pointed out by the business community?"
In response, Minister Kim stated, "There are many questions in the field about how to proceed with bargaining procedures under Article 2 of the Trade Union and Labor Relations Adjustment Act within the company-level labor-management relations system. We are conducting simulations based on various scenarios and hypotheses, and plan to supplement the enforcement ordinances accordingly."
Representative Park emphasized, "While it is important to address immediate concerns, it is also essential to continuously monitor the situation after the law is implemented, accumulate and analyze new cases, and establish a system to improve the regulations."
Regarding this, Minister Kim added, "The Yellow Envelope Act is not a law that condones illegal acts, but one that aims to eliminate the root causes of illegality and break the cycle of negative consequences. I understand that the minister’s obligations were stipulated as an ancillary opinion during the amendment of the Trade Union and Labor Relations Adjustment Act. I will do my utmost to fulfill my duties."

jhyuk@fnnews.com Kim Jun-hyuk Reporter