Na Kyungwon Criticizes the Yellow Envelope Act
Calls It a "Red Card" for Companies and Jobs
Warns of Risks to the Entire Economic Ecosystem
Regarding the Yellow Envelope Act (the amendment to Articles 2 and 3 of the Labor Union Act), which is set to be processed at the National Assembly plenary session, Assemblywoman Na Kyungwon of the People Power Party strongly stated, "It will become a red envelope act, a red card ordering companies and jobs to leave."
Representatives from six major economic organizations and the Council of Economic Organizations held a resolution rally opposing the amendment of the Labor Union Act on the steps in front of the National Assembly main building on the 19th. 2025.8.19 Photo by Kim Hyunmin
On August 20, Na wrote on Facebook, "While President Lee Jaemyung speaks of 'one team' and 'advanced country standards' in front of business leaders, behind the scenes, he is tying the hands and feet of companies with the Yellow Envelope Act and the amendment to the Commercial Act, which encourage illegal strikes. This hypocritical behavior must stop."
She continued, "Even though the first steps in the Korea-US tariff negotiations were taken not by the government but through the blood and sweat of companies, the Lee Jaemyung Democratic Party administration shamelessly imposes a regulatory bomb. The Yellow Envelope Act is a distorted piece of legislation found nowhere in advanced countries. One of the main provisions-expanding the definition of employer in Article 2 to allow subcontractor unions to negotiate with the principal company-has no precedent in the world."
Na also criticized, "The concept of 'substantial control' is so abstract that it fails to meet even the basic requirements of law, violating the principle of clarity. Even progressive scholars are concerned that this could lead to the judicialization of labor-management relations."
Regarding Article 3, which limits the scope of damages claims against unions or workers, she pointed out, "It could excessively exempt and encourage illegal strikes." Na argued, "The true global trend and the direction of advanced countries is to prohibit unions from occupying key workplaces, allow replacement workers during strikes, and guarantee companies' rights to defend themselves, so that labor and management can grow together. Is the 'advanced country' President Lee refers to a totalitarian state where the government has absolute control over the fate of companies?"
Na further criticized, "The Yellow Envelope Act, which the Lee Jaemyung Democratic Party administration is now forcing through, will mandate principal company negotiations and expand the scope of industrial disputes to include 'business decisions,' trapping the industrial sector in an endless cycle of strikes. This is not just a problem for large corporations. The entire economic ecosystem of our country could collapse, including small and medium-sized enterprises worried about losing their networks, as well as venture companies and startups that are increasingly relocating overseas."
She also said, "The government claims a lack of tax revenue and discourages corporate ambition by raising corporate taxes, yet is distributing consumption coupons worth 880 billion won and even considering additional payouts. The idea of reviving the economy not through industry and markets, but through populist handouts, only blinds the public and empties the national treasury."
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