People Power Party Proposes Launch of "Yellow Envelope Act Amendment Consultative Body" to Democratic Party

Concerns Over "Lawless Industrial Sites"
Opposition Urges Cooperation on Yellow Envelope Act

The People Power Party proposed on the 19th to launch a "Labor Union Act Amendment Consultative Body" in order to coordinate the contents of the "Yellow Envelope Act" (Partial Amendment to the Trade Union and Labor Relations Adjustment Act), which is being promoted under the leadership of the Democratic Party.

Kim Jungjae, Policy Committee Chairman of the People Power Party, is speaking at a tariff response meeting held on the 6th at Hyundai Motor Ulsan Plant. Photo by Yonhap News

Kim Jungjae, Policy Committee Chairman of the People Power Party, stated at a party countermeasures meeting held at the National Assembly that morning, "The People Power Party proposes to the Democratic Party that we immediately launch a consultative body to amend the Labor Union Act, involving labor-management experts from both ruling and opposition parties." He added, "We urge the Democratic Party to cooperate with a broad perspective so that the Yellow Envelope Act does not degenerate into an illegal act that turns industrial sites into lawless zones."

Chairman Kim emphasized, "The business community, including the Korea Employers Federation, has expressed its willingness to accept the amendment if only certain provisions are revised," adding, "This demonstrates a desperate will to reduce market confusion and achieve a grand social compromise."

He further explained, "If the Democratic Party's amendment passes as it is, companies will be forced to endure endless negotiations with thousands of partner firms, and even major management decisions such as overseas investments will inevitably become subject to strikes. Ultimately, the damage will spread throughout the entire industry and to all citizens."

He continued, "The business community is even accepting limits on claims for damages from illegal strikes, pleading to prevent the worst-case scenario. The Democratic Party must listen to these urgent voices."

The American Chamber of Commerce in Korea (AMCHAM) also met with the Democratic Party's floor leadership that day to express concerns related to the Yellow Envelope Act. James Kim, Chairman of AMCHAM, stated at the meeting, "A predictable and stable political and regulatory environment is extremely important for Korea to become a more attractive investment destination for multinational companies. In this regard, we are concerned that the passage of the Yellow Envelope Act in the National Assembly could negatively affect Korea's status as a regional hub in Asia."

However, Huh Young, Senior Deputy Floor Leader for Policy of the Democratic Party, dismissed these concerns after meeting with AMCHAM, telling reporters, "We cannot amend the Yellow Envelope Act. We plan to process it as it stands, following the proper procedures."