Hong Nam-ki Absent from Party-Government-Blue House Meeting, Does Not Publicly Mention 'Compensation for Losses' at Ministry of Economy and Finance Executive Meeting

"Next Month's Announcement on Youth Employment Activation Measures"

Hong Nam-ki, Deputy Prime Minister for Economy and Minister of Strategy and Finance. (Image source=Yonhap News)

[Asia Economy Reporter Moon Chaeseok] The government will announce measures to revitalize youth employment next month.

With the expiration of measures such as the ban on short selling and the extension of loan maturities for small business owners and small and medium-sized enterprises (SMEs) scheduled for March, the government will discuss future directions related to these issues.

On the 25th, Deputy Prime Minister and Minister of Strategy and Finance Hong Nam-ki presided over an expanded executive meeting at the Government Complex Sejong and made these remarks.

Deputy Prime Minister Hong instructed, "Since the employment situation is difficult at the beginning of the year, focus on managing the employment situation intensively during January and February."

Regarding the youth group, which has been hit hardest by the employment shock, he mentioned, "Employment revitalization measures should be prepared by early to mid-next month, before the graduation season ends."

Deputy Prime Minister Hong reminded that the expiration deadlines for several measures, including the extension of loan maturities for small business owners and SMEs, designation of special employment sectors, and the ban on short selling, will come in March.

He urged, "Considering the quarantine situation, economic trends, and market conditions comprehensively, review future response directions in advance with related ministries and agencies."

He requested that legislative tasks such as tax reform to increase employment for domestic demand and employment recovery, additional income deductions for credit cards, and expansion of tax credits for benevolent landlords be addressed so that they can be processed at the next extraordinary session of the National Assembly next month.

Meanwhile, Deputy Prime Minister Hong did not make any public remarks regarding the self-employed loss compensation law recently promoted by the ruling party during the meeting.

Previously, on the 24th, Deputy Prime Minister Hong did not attend a high-level ruling party-government meeting attended by Lee Nak-yeon, leader of the Democratic Party of Korea, Prime Minister Chung Sye-kyun, Presidential Chief of Staff Yoo Young-min, and Policy Chief Kim Sang-jo.

At that meeting, a plan to institutionalize a loss compensation system to compensate self-employed individuals for damages caused by COVID-19 was discussed.

The Ministry of Strategy and Finance explained that Deputy Prime Minister Hong was absent from the meeting due to a severe cold.

However, many view this as a subtle way of conveying discomfort with the loss compensation law.