Guro-gu Mayor Lee Seong, Praised for Administrative Measures Encouraging Paid Leave Instead of Firing Office Workers!

Seong-gu Mayor Receives Applause on 26th at Seoul District Mayors' Council for Announcing Plan to Create a "Layoff-Free City" by Encouraging Paid Leave Instead of Layoffs for Companies Struggling Due to COVID-19

Seong Lee, head of Guro District Office (second from the right), is announcing the 'Employment Insurance and Employment Retention Support Fund Plan' on the 26th.

[Asia Economy Reporter Jong-il Park] Lee Sung, the mayor of Guro District, is receiving positive evaluations for stepping up to prevent layoffs of employees at local companies struggling due to COVID-19.

The mayor received applause for devising measures to encourage local companies facing sales difficulties due to COVID-19 to offer paid leave instead of laying off employees.

On the afternoon of the 26th, before entering the main meeting of the Seoul Metropolitan Council of District Mayors (Chairman Kim Young-jong, mayor of Jongno District), Mayor Lee announced the “Guro District, a City Without Layoffs, Employment Insurance and Employment Retention Subsidy Support Plan.”

Mayor Lee began by saying, “In line with national policies aimed at stabilizing jobs, the foundation of people’s livelihoods, such as nationwide employment insurance enrollment, we intend to support local businesses, small business owners, and workers facing difficulties due to COVID-19 to coexist and thrive together.”

First, he announced that from this month until the COVID-19 crisis ends, he will spread the atmosphere of corporate participation through the “Guro, a City Without Layoffs” coexistence declaration.

For companies participating in this movement, he said they would provide benefits such as employment insurance premium support, employment retention subsidy support, local tax deferrals, and reductions in occupancy fees to support employment retention.

In particular, regarding support for employment insurance enrollment, he stated that for companies not yet enrolled, 10% of the employer’s share of the Durunuri social insurance premiums (employment insurance and national pension) would be supported upon enrollment.

For reference, the Durunuri social insurance premium is a government program that supports up to 90% of social insurance premiums (employment insurance and national pension) for workers employed at workplaces with fewer than 10 employees whose average monthly wage is less than 2.15 million KRW, as well as their employers.

He also announced that the employment retention subsidy would cover the employer’s share of the subsidy for workers on paid leave at workplaces enrolled in employment insurance for six months.

Mayor Lee received applause when he said, “If companies lay off employees because the economy is difficult, will they be able to find employees with the know-how and affection for the company when the economy recovers? Although we are a local government, we will support companies as much as possible to implement paid leave instead of layoffs.”

He continued, “This month, through a coexistence declaration with local companies and related organizations, we will spread the atmosphere of companies and businesses stabilizing jobs, the foundation of people’s livelihoods. The budget required for this will be 860 million KRW,” adding, “It is a scale that the district office can handle.”

Mayor Lee’s announcement of support measures for paid leave without layoffs on this day has been evaluated as “a model of a local administrator who truly loves the residents.”

Lee Sung, mayor of Guro District, passed the 24th Administrative Examination, started his public service career in Seoul, served as head of the City Reform Team, head of the Competitiveness Enhancement Headquarters, and auditor, and was elected as mayor of Guro District in the 5th local election, serving three terms through the 7th local election.

Notably, during the tenure of Mayor Ko Gun of Seoul, Mayor Lee attracted attention by withdrawing his jeonse deposit to take his family on a world trip.