Annual Cost of Free Rides for the Elderly Reaches 816 Billion Won
Lee: "Costs Being Passed on to Future Generations"
Lee Jun-seok, Chairman of the Reform New Party's Policy and Platform Committee, announced a policy pledge to abolish the free subway ride benefit for the elderly. The core of the plan, which is expected to spark controversy, is to eliminate the free urban rail usage system for seniors and instead provide transportation cards worth 10,000 KRW per month to those aged 65 and older.
On the 18th, Chairman Lee held a press conference at the National Assembly Communication Office and stated, "We will abolish the free subway ride benefit provided to those aged 65 and older under Article 26, Paragraph 1 of the Elderly Welfare Act." He added, "It may be controversial, but I believe it is a necessary change for South Korea. Even if it costs votes in politics, I will speak the right words."
Chairman Lee explained, "The system started 44 years ago, modeled after the free ride policy for the elderly in the Soviet Union, a communist country at the time, initially offering a 50% discount for those aged 70 and above, and later changed in 1984 to free rides for those aged 65 and older. This system has now reached its end of life." He further noted, "The cost of free urban rail rides for the elderly is projected to be 815.9 billion KRW annually as of 2022."
He pointed out that it is a highly inappropriate administrative practice to shift the welfare costs that the state should bear onto local governments. Chairman Lee emphasized, "Transportation welfare for the elderly should be the responsibility of the state. Currently, most of these costs remain as debts of urban rail operators and are being passed on to future generations."
He also argued that free subway rides for the elderly cause serious fairness issues between regions. Chairman Lee criticized, "Only elderly people living in metropolitan areas such as the Seoul Capital Area or Busan, where urban rail exists, benefit, while elderly residents in other regions are left with an empty promise."
Lee Jun-seok, Chairman of the Reform New Party's Platform and Policy Committee, is holding a press conference related to the Reform New Party's platform and policies at the National Assembly Communication Hall on the 8th. Photo by Hyunmin Kim kimhyun81@
After Abolishing Free Subway Rides for the Elderly, 10,000 KRW Monthly Transportation Card to Be Provided
Chairman Lee stated, "Instead of the free ride system, we will provide transportation cards worth 120,000 KRW annually, equivalent to 10,000 KRW per month, to seniors aged 65 and above." These cards will be usable on urban rail, buses, and taxis.
He added, "After the 120,000 KRW is used up, seniors will be able to use buses and subways at fares discounted by about 40%, the same rate currently applied to youth." He explained, "This will effectively convert a significant portion of the transportation welfare costs borne by local governments into national funding."
In response to concerns about strong opposition from the elderly, Chairman Lee said, "The debate needs to grow for a solution to emerge," and added, "We will expand the benefits, which have so far been concentrated in metropolitan subways, more universally."
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