Yoon: "Investment in Youth is a Profitable Business"…Active Support for Studies, Activities, and Childcare (Comprehensive)

17th Public Discussion in Gwangmyeong, Gyeonggi
National Scholarship Expanded to 1.5 Million Recipients
New Housing Scholarship Up to 2.4 Million KRW Annually
Support for Global Activities, Exercise, and Mental Health
Advance Childcare Payments and Tax-Exempt Corporate Birth Incentives

President Yoon Suk-yeol emphasized the necessity of various policy supports for young people, who are responsible for the nation's future, stating on the 5th that "a small investment in youth is a profitable business." Through various policies such as expanding the beneficiaries of national scholarships, establishing housing scholarships, strengthening the Youth Leap Account, introducing an advance payment system for child-rearing expenses, and making corporate childbirth support funds fully tax-exempt, the government intends to actively assist young people in their studies, finances, and childcare.

On the afternoon of the same day, President Yoon made these remarks during the closing statement of the 17th public discussion forum titled "Korea Leaping Forward with the Power of Youth" held at Ibex Studio in Gwangmyeong City, Gyeonggi Province.

He cited institutional support to ensure that young people have fair opportunities as the government's most important responsibility. President Yoon explained, "We aim to avoid a society where parents' status is inherited by their children and strive for a society where each person's future is determined by their own abilities. Creating such a system is the first thing we can do for youth," adding, "It is not just 'fairness' in specific competitions or games, but truly 'dynamic fairness.'"

President Yoon particularly mentioned that the government and youth are partners in national governance, emphasizing, "If the government invests a little, young people can greatly enhance their capabilities," and "The investment effect is enormous." In his opening remarks, he also referred to young people recognized on the global stage, such as singers BTS and Blackpink, soccer player Son Heung-min, baseball player Kim Ha-seong, and esports player 'Faker' Lee Sang-hyeok, stating, "It is the nation's duty to enable outstanding Korean youth to fully demonstrate their abilities," and "Young people are partners in national governance more important than anyone else."

To fulfill President Yoon's campaign pledge and national agenda regarding youth intern recruitment, the government has hired 2,000 youth interns in government agencies to promote youth policy proposals, with plans to hire a total of 5,000 this year?2,200 in the first half and 2,800 in the second half. Additionally, the government intends to expand youth participation in committees of local governments nationwide this year.

National Scholarship Beneficiaries Expanded to 1.5 Million; Work-Study Scholarship Recipients Increased from 120,000 to 200,000

[Image source=Yonhap News]

First, President Yoon plans to strengthen financial support systems such as national scholarships and work-study scholarships to ensure that lack of money does not hinder academic progress. He explained, "We will increase the number of national scholarship beneficiaries from the current 1 million to 1.5 million," adding, "We will significantly expand work-study scholarships so that students can earn tuition and living expenses both inside and outside school while studying and working, and establish housing scholarships to provide up to 2.4 million KRW annually."

Furthermore, he stated that the work-study scholarship, which allows students to balance work and study, will be greatly expanded, increasing the number of recipients from 120,000 last year to 200,000 next year, and that a housing scholarship will be newly established to provide up to 2.4 million KRW annually.

President Yoon also emphasized increasing opportunities for young people to save large sums for their future. He promised to allow support for the Youth Leap Account, which has a five-year subscription period, even if maintained for only three years, thereby increasing the usability of funds for youth. Additionally, young people who have served in the military will be able to join the Youth Leap Account based on their previous year's soldier salary, ensuring that each has a reliable savings account.

In his closing remarks, President Yoon explained, "It's not just about giving young people a bank account and helping them build a nest egg for the future when they do something later. Young people tend to spend money as it comes because they have many interests and curiosities. However, having such an account to save money for their future itself, and having interest and training in how to manage their assets better, is important."

Government Supports Youth from Global Activities to Mental Health

[Image source=Yonhap News]

Measures to enhance young people's global capabilities will also be prepared. President Yoon said, "For example, ASML, a semiconductor equipment company in the Netherlands, has employees from over 60 countries," adding, "The meaning of borders will change in the future where you young people will live."

He continued, "While increasing opportunities for you to gain experience in various countries around the world, we will also strengthen the overseas Korean safety system to ensure that our youth can learn safely and be protected abroad."

President Yoon also pledged to take good care of young people's health and sports, which are part of their lives. He announced plans to promote the 'income deduction for sports facilities' promised during the last presidential election, applying cultural expense income deductions to swimming pool and gym facility usage fees.

He explained, "We will apply cultural expense income deductions to swimming pool and gym facility fees so that no one gives up exercising due to economic reasons," adding, "We will support not only the physical health of young people but also their mental health."

Jang Mi-ran, Vice Minister of Culture, Sports and Tourism, who attended the discussion, said, "Sports activities of the youth generation are directly linked to national competitiveness, so I believe national support is necessary," and added, "To reduce the burden of sports activities, we will promote cultural expense income deductions for swimming pool and gym usage fees."

The government will also take care of young people's mental health. President Yoon mentioned, "Young people hesitate to receive counseling and treatment for mental health due to social stigma and cost burdens," and pledged to support lowering the barriers to mental health care.

Regarding this, Kim Hye-ji, an official from the Ministry of Health and Welfare, introduced, "Currently, about 11,000 young people receive psychological counseling through the 'Youth Mental Health Voucher.' Starting this July, it will be expanded to the entire population under the 'One Mind Investment Project,' supporting about 80,000 people," adding, "Those struggling mentally can apply for vouchers at nearby town or township community centers and receive counseling with a lower cost burden."

Prompt Introduction of Advance Payment System for Child-Rearing Expenses; Full Tax Exemption for Corporate Childbirth Support Funds

[Image source=Yonhap News]

After listening to the stories of young caregivers struggling with child-rearing expenses, President Yoon instructed the prompt introduction of the advance payment system for child-rearing expenses, a campaign pledge and national agenda. As the issue of non-payment of child-rearing expenses by non-custodial parents in divorced families emerged as a social problem, President Yoon pledged the advance payment system during his presidential campaign and included it in the national agenda at the start of his administration. The Ministry of Gender Equality and Family is preparing support targets and criteria with related ministries and explained that the government will do its best to pay child-rearing expenses first and recover them from debtors.

Regarding corporate childbirth support funds, President Yoon promised, "We will make childbirth support funds paid by companies to employees fully tax-exempt to reduce the burden on companies and allow more workers to benefit."

During the discussion, a female participant who received childbirth support funds from Booyoung Group repeatedly requested the removal of tax burdens on childbirth support funds. Deputy Prime Minister and Minister of Economy and Finance Choi Sang-mok promised, "In conclusion, when companies pay childbirth support funds to childbirth workers, neither the company nor the workers will bear additional tax burdens," adding with a smile, "You can prepare for childbirth with peace of mind."

President Yoon expressed empathy with young people on this issue, saying, "The Ministry of Economy and Finance has made a clear concession. If childbirth support funds are treated as bonuses and taxed as income tax, that would not be acceptable, right?"

About 460 young people from various fields, including youth advisors from each ministry, the 2030 Policy Advisory Group, and members of the Youth Policy Coordination Committee, attended the event. From the government, Deputy Prime Minister Choi Sang-mok, Deputy Prime Minister Lee Ju-ho, and Director of the Office for Government Policy Coordination Bang Ki-seon participated. From the Presidential Office, Chief Secretary Lee Gwan-seop, Policy Chief Seong Tae-yoon, Security Chief Jang Ho-jin, Senior Secretary for Economy Park Chun-seop, and Senior Secretary for Social Affairs Jang Sang-yoon were present.