Kim Ki-moon "Enhancing Convenience of Noran Usan"... Amendment to the SME Cooperative Act

Kim Ki-moon, President of the Korea Federation of Small and Medium Business

[Asia Economy Reporter Kim Daeseop] Kim Gimuon, Chairman of the Korea Federation of Small and Medium Business, stated on the 10th, "Through the revision of the Small and Medium Enterprise Cooperative Act, 350,000 small business owners annually will be able to use the Yellow Umbrella without submitting documents, enhancing convenience and strengthening the social safety net for small business owners."

This statement was made in response to the passage of the amendment to the Small and Medium Enterprise Cooperative Act at the National Assembly plenary session the previous day. The amendment includes provisions allowing the Korea Federation of Small and Medium Business to use tax information from the National Tax Service with the consent of Yellow Umbrella subscribers.

Until now, small business owners had to submit necessary documents separately to join the Yellow Umbrella and claim insurance benefits. This caused economic and procedural costs, leading to many difficulties in the field. The administrative burden on tax offices issuing documents to 350,000 people annually was also significant.

Chairman Kim Gimuon said, "The Yellow Umbrella has firmly established itself as a representative social safety net for small enterprises and small business owners to stabilize their lives and restart their businesses amid threats such as business closures." He added, "With the legal basis now in place, we will do our best to proceed with follow-up practical procedures in close consultation with related agencies such as the National Tax Service so that small business owners can use the Yellow Umbrella effectively and safely."