'Representative Proposal of Partial Amendments to the Operation of Public Institutions'
[Asia Economy Reporter Naju-seok] On the 28th, Lee Jae-myung, a member of the Democratic Party of Korea, introduced the 'Anti-Privatization Act' as his first legislative activity.
On the same day, Lee proposed the "Partial Amendment to the Act on the Management of Public Institutions," which includes a provision requiring prior reporting to the National Assembly when pursuing privatization of public institutions.
Currently, the Ministry of Economy and Finance is allowed to independently establish plans for reviewing and readjusting the functions of public institutions and for privatization. Because of this, there have been criticisms that public opinion is not reflected when the government arbitrarily proceeds with the privatization of public institutions.
This amendment includes provisions requiring prior reporting to the National Assembly when pursuing privatization of public institutions that manage and operate essential goods most closely related to the daily lives of the people.
In particular, when the government exercises shareholder rights over stocks it holds in public institutions subject to privatization, it must report in advance to the National Assembly, and when deciding on sales, it must go through the consent procedure of the National Assembly.
Lee’s office stated, “Essential goods such as electricity, water, gas, and transportation like airports and railroads are essential to people's livelihoods, so the impact on the public must be considered before management efficiency or profitability,” and added, “We will do our best to pass this bill to prevent the government’s unilateral privatization decisions in advance.”
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