Human Rights Commission: "Basic Livelihood Security Recipients Should Be Included in National Pension Silver Loan Eligibility"

The National Human Rights Commission of Korea (NHRCK) announced on the 5th that it has recommended the Minister of Health and Welfare to improve the system so that basic livelihood security recipients are also included in the target group for the Silver Loan, a national pension emergency retirement fund loan program.

According to the NHRCK, complainant A, a recipient of medical and housing benefits under the Basic Livelihood Security Act, attempted to apply for the Silver Loan last October but filed a complaint stating that basic livelihood security recipients were excluded from the target group.

According to the guidelines of the National Pension Service, the Silver Loan is available to pension recipients aged 60 or older residing in Korea. However, basic livelihood security recipients, those who have not yet fully repaid loans received from the National Pension Fund, foreigners and overseas Koreans, persons under adult guardianship or limited guardianship, and recipients of grade 4 disability benefits are excluded from the Silver Loan program.

In response, the Ministry of Health and Welfare explained, "The target group was limited to ensure the stable operation of the National Pension Fund and the sustainability of the Silver Loan," adding, "It is difficult to see that lending to basic livelihood security recipients contributes to the stability of their retirement life."

The NHRCK pointed out, "The Silver Loan can respond to accidents or illnesses that occur temporarily or unexpectedly," and stated, "Including pension recipients who are basic livelihood security recipients, whose income and assets are inevitably lower, in the loan program could rather contribute to the stability of their retirement life."

Furthermore, the commission judged, "There is no reasonable basis to treat basic livelihood security recipients and other pension recipients differently in the Silver Loan program," and concluded that this constitutes "discriminatory acts due to infringement of the right to equality."