Small Business Ombudsman and Korea Federation of Micro Enterprises Hold Joint Meeting on Regulatory Improvement

Proposal to Expand Onnuri Gift Certificate Usage
"Ongoing Discussions to Continue"

The Small and Medium Business Ombudsman and the Korea Federation of Micro Enterprises announced on the 19th that they held a "Joint Meeting on Regulatory Improvement for Small Business Owners."

The meeting, held at the Digital Education Center of the Korea Federation of Micro Enterprises in Mapo-gu, Seoul, was attended by Ombudsman Choi Seungjae, Ombudsman Support Team Leader Lee Hanhyung, and around 10 regulatory improvement officials from the Ministry of Employment and Labor, Ministry of Environment, and Ministry of Food and Drug Safety. On the side of the Korea Federation of Micro Enterprises, about 20 representatives from small business associations, including the Korea Supermarket Cooperative Federation, Korea Chauffeur Association, and Korea Motel Association, participated.

During the meeting, participants discussed 56 regulatory improvement tasks requested by the Korea Federation of Micro Enterprises and related associations, including: expanding the use of Onnuri gift certificates for small businesses; broadening the scope of fire insurance coverage for small businesses; and enacting the Platform Fair Competition Promotion Act. The Federation proposed that the application of Onnuri gift certificates be extended not only to traditional markets and alley-type shopping districts but also to all small business establishments.

In response, the Ombudsman conveyed the position of the Ministry of SMEs and Startups, explaining that it is difficult to expand Onnuri gift certificates to all small businesses, considering their original purpose of revitalizing traditional markets. He added, "As the Traditional Market Act is being revised to include alley-type shopping districts, the range of places where Onnuri gift certificates can be used is gradually expanding, so we will continue to hold discussions on this issue."

Regarding the proposal to expand fire insurance coverage from traditional markets to shopping districts and alley commercial areas, the Ombudsman explained, "The Ministry of SMEs and Startups recently expressed its intention to include shopping districts as eligible for fire insurance, and a related bill has already been submitted to the National Assembly."

On the need for new or revised regulations to address monopolistic and unfair practices by some platforms, the Ombudsman stated, "After the opening of the 22nd National Assembly, a bill to prevent recurrence was submitted, but it has stalled at the standing committee review stage. Swift legislation is necessary, and various discussions are ongoing in both the National Assembly and government ministries."

Other issues discussed included "long-term installment repayment of policy funds for small businesses" and "enactment of a special law for manpower support for small businesses," both aimed at revitalizing small business operations.

Ombudsman Choi Seungjae said, "Although indicators show that the current consumption downturn is receding, we must not become complacent. Continuous regulatory reform efforts are needed for small business owners who are still facing critical challenges." He added, "It is more important than ever for small business owners themselves to pursue management innovation to enhance competitiveness and productivity. Please do not hesitate to reach out to the Ombudsman whenever you face difficulties."

The Korea Federation of Micro Enterprises expressed hope that this meeting would ensure the voices of small business owners are reflected in actual policy. Song Chiyoung, President of the Federation, emphasized, "Complex and unreasonable regulations are obstacles to the growth of small businesses. We will continue to actively gather feedback from the field and focus on identifying and improving regulations for the growth of small businesses in cooperation with the Small and Medium Business Ombudsman." He added, "Through ongoing collaboration with the Ombudsman, we will continue to submit proposals to the government to address regulations and difficulties that hinder the growth and innovation of small businesses in each sector."