Labor minister nominee says Korea should reduce work hours

Korea Herald

15 hours ago

Kim reaffirms support for Yellow Envelope Law, calls it 'non-negotiable'
Kim Young-hoon, President Lee Jae Myung's nominee for minister of employment and labor, pledged to push forward key labor reforms, including the 4.5-day workweek, an extension of the retirement age, and revisions to Articles 2 and 3 of the Labor Union Act, a proposal known as the Yellow Envelope Law.
'These are the paths we must take,' Kim told reporters outside the Labor Ministry's Seoul regional office, where he began preparations for his National Assembly confirmation hearing.
'Reducing working hours through a 4.5-day workweek or extending the retirement age are the only tools that can overcome crises such as the digital transition, population decline, aging society and labor shortages.'
While emphasizing the need for reform, Kim clarified that 'no policy will be enforced simply based on ideology or justification,' promising to consider challenges businesses may face and to pursue change through labor-management-government dialogue.
He identified the fragmentation of the labor market as the most urgent challenge. 'Whereas the focus used to be on permanent versus temporary employment, now it's about an increasingly segmented workforce,' Kim said. 'Unifying this fragmented landscape aligns with the Lee administration's vision of growth and inclusion.'
Highlighting the need for broader labor protections, Kim stressed support for precarious workers who fall outside legal coverage. 'Safeguarding the right to work for our ordinary neighbors unprotected by the law is a top priority,' he said.
On Wednesday, Kim reiterated his strong commitment to revising Articles 2 and 3 of the Trade Union and Labor Relations Adjustment Act, stating it is 'not a matter of choice, but the path we must take.'
Kim emphasized the need to institutionalize bargaining structures for fragmented labor sectors. 'If the government fails to support negotiations across diverse labor groups, it is abandoning its responsibility,' he said.
'The law mandates that the government assist and facilitate such negotiations — this amendment is one method of doing that.'
The Yellow Envelope Law, long championed by labor groups, seeks to expand the definition of an employer to include parent companies, allowing subcontractor unions to negotiate directly with principal firms. It also aims to restrict excessive damage claims filed against striking workers. Business circles have pushed back, arguing it could encourage illegal strikes.
The controversy dates back to May 2009, when unionized workers of SsangYong Motor Co. staged a strike to oppose layoffs. Five years later, the Supreme Court declared the strike illegal and ordered the workers to pay 4.7 billion won ($3.6 million) in compensation to the company and the state.
Civic activists then delivered yellow envelopes with donations to support the SsangYong workers, raising the need to amend the trade union law in favor of striking workers. The revision has since been called the Yellow Envelope Law.
Asked if he plans to engage further with business leaders on the issue, Kim said he has not formed any specific plans or positions.
On social dialogue, Kim said it remains a crucial tool for resolving conflict-ridden issues across Korean society. 'Negotiation is harder than striking, but there's no alternative to negotiation,' he added.
A veteran labor leader and until this week a Korea Railroad Corporation train engineer, Kim has held key posts including head of the railway union and chair of the KCTU. He supported Lee's labor pledges during both the 2022 and 2025 presidential campaigns and officially submitted his retirement notice to Korail on Monday.