Ruling Bloc Races to Pass Yellow Envelope Act by August 4... People Power Party Issues Emergency Mobilization Order

Democratic Party Aims for Passage During July Extraordinary Session
People Power Party Reviews All Possible Countermeasures

The Democratic Party of Korea and other ruling bloc parties have launched a fast-track push for so-called reform bills, including the "Yellow Envelope Act" (amendment to Articles 2 and 3 of the Trade Union Act), the Commercial Act amendment, and the three broadcasting bills, setting a goal of passing them at the plenary session on August 4. The People Power Party has declared a state of emergency for all its lawmakers next week, banning even constituency activities, in a bid to block these bills with all available means.

On July 29, Kim Byungki, acting leader and floor leader of the Democratic Party, stated, "We will swiftly process livelihood reform bills that have been blocked by President Yoon Suk-yeol's veto (request for reconsideration) during the July session of the National Assembly." He added, "Since prompt implementation is also important, we will closely coordinate with the government to establish a roadmap for advancing livelihood reform legislation." Jin Sungjoon, the Democratic Party's chief policy maker, also declared at the meeting, "We will ensure the Yellow Envelope Act is passed during the July extraordinary session of the National Assembly."

Kim Byungki, Acting Party Leader and Floor Leader of the Democratic Party of Korea, is speaking at the Floor Strategy Meeting held at the National Assembly on the 29th. 2025.7.29 Photo by Kim Hyunmin

On the other hand, Song Eonseok, acting leader and floor leader of the People Power Party, strongly condemned the unilateral passage of the Yellow Envelope Act and the Commercial Act amendment at a parliamentary countermeasures meeting, saying, "We express strong condemnation and deep regret over this one-sided action, which directly violates the spirit of bipartisan cooperation." After the meeting, Kwak Gyutaek, chief spokesperson for the People Power Party, told reporters, "We are reviewing all possible response measures, including a filibuster." In response to the handling of these contentious bills next week, the People Power Party has issued an emergency standby order for all its lawmakers, banning not only overseas activities but also local constituency work.

Previously, the Democratic Party and the Progressive Party pushed through the Yellow Envelope Act the day before, following party-government consultations, a subcommittee review, and a full committee meeting. The version of the Yellow Envelope Act that passed the Environment and Labor Committee this time expands the scope of legitimate labor disputes by adding "business management decisions affecting working conditions" to "matters concerning the determination of working conditions." It also includes provisions for retroactive application, making it "even stronger" than previous versions that were scrapped due to President Yoon Suk-yeol's veto during his administration.

Song Eonseok, the Emergency Committee Chairman and Floor Leader of the People Power Party, is speaking at the floor countermeasure meeting held at the National Assembly on the 29th. 2025.7.29 Photo by Kim Hyunmin

The Commercial Act amendment also passed the Legislation and Judiciary Committee's subcommittee the previous day. During the subcommittee meeting, People Power Party lawmakers walked out in protest, but the Democratic Party pushed through the amendment, which mandates cumulative voting for large listed companies with assets of 2 trillion won or more and expands the separate election of audit committee members. The amendment requires cumulative voting for listed companies with assets of 2 trillion won or more and increases the number of separately elected audit committee members from one to two or more.

Meanwhile, the Democratic Party announced that lawmaker Kim Youngjin will chair the Special Committee on Tax System Reform, which will discuss tax and other reform measures. Lawmaker Jung Taeho, who serves as the Democratic Party's secretary on the National Assembly's Strategy and Finance Committee, will serve as secretary of the special committee.