Yellow Envelope Act Passes Environment and Labor Committee Agenda Coordination... Opposition Party Unilaterally Approves in 20 Minutes

Ruling Party Lawmakers Walk Out as Opposition Passes Bill Alone
High Likelihood of Full Environment and Labor Committee Meeting on the 21st

[Asia Economy Reporter Oh Ju-yeon] The amendment to Articles 2 and 3 of the Labor Union and Labor Relations Adjustment Act (Labor Union Act), which strengthens the responsibility of primary contractors for subcontracted workers and limits indiscriminate claims for damages by companies against striking workers, passed the National Assembly Environment and Labor Committee's agenda adjustment committee on the 17th.

This amendment, known as the 'Yellow Envelope Act,' was effectively passed solely under the leadership of the Democratic Party of Korea and the Justice Party, as the People Power Party walked out of the meeting in protest against the unilateral progress. Earlier, when the Democratic Party of Korea and the Justice Party approved the amendment at the Environment and Labor Committee's bill subcommittee on the 15th, the People Power Party requested referral to the agenda adjustment committee.

[Image source=Yonhap News]

The agenda adjustment committee is a body established to discuss agenda items that require reconciliation of differing opinions. It is formed upon the request of at least one-third of the standing committee members and can review bills for up to 90 days. It consists of six members, including one chairperson, and requires the approval of at least four members to process an agenda item.

This agenda adjustment committee was composed of Democratic Party members Lee Hak-young, Lee Soo-jin (proportional representation), Jeon Yong-gi; People Power Party members Lim Eui-ja and Kim Hyung-dong; and Justice Party member Lee Eun-joo, with Lee Hak-young serving as chairperson. The ruling party left the meeting room immediately after the meeting began in protest of the bill processing.

Representative Lim told reporters, "They say they expanded the concept of the employer, but they are pushing the bill without a specific scope," and added, "Doing this without any basis is ignorant." The Democratic Party and Justice Party members who remained in the meeting completed the approval of the amendment in less than 20 minutes after the meeting started.

Since the opposition holds the majority in the Environment and Labor Committee, the amendment is highly likely to be processed at the full committee meeting on the 21st. If it passes the Environment and Labor Committee, the 'Yellow Envelope Act' will move on to the Legislation and Judiciary Committee. Currently, the chairperson of the Legislation and Judiciary Committee is Kim Do-eup of the People Power Party, so the processing of the government-opposed 'Yellow Envelope Act' is expected to face difficulties.

The opposition is likely to push for direct submission of the 'Yellow Envelope Act' to the plenary session. If the Legislation and Judiciary Committee does not complete the review of a specific bill within 60 days, it can be directly submitted to the plenary session by a vote of the relevant standing committee.

The amendment broadens the scope of 'employer' defined in Article 2 of the current Labor Union Act to include "a person who, even if not a party to the labor contract, is in a position to substantially and concretely control or determine the working conditions of workers," thereby requiring primary contractors to also engage in collective bargaining. Furthermore, Article 3 stipulates that when a court recognizes the union's liability for damages, the scope of responsibility should be individually determined according to the degree of fault and contribution, thereby limiting indiscriminate claims for damages by companies.

Members of both ruling and opposition parties in the Environment and Labor Committee have been discussing this bill since the last regular session of the National Assembly but have delayed approval due to unresolved differences. The Democratic Party and Justice Party have argued for the amendment to prevent unconstitutional damage lawsuits against workers, while the ruling People Power Party has opposed it, citing concerns that it could undermine corporate management.