People Power Party Criticizes 'Legislative Rampage' One Month After Yellow Envelope Act Implementation
With the Yellow Envelope Act one month into effect, the main opposition People Power Party (PPP) has urged the formation of a consultation body for legal amendments. This is emerging as a point of conflict between labor and management circles and a contentious issue between the ruling and opposition parties.
Jeong Jin-seok, the PPP's policy committee chairman, stated at a party meeting on the 10th, "One month into the Yellow Envelope Act's implementation, problems are being pointed out according to voices from the field." He argued that discussions for amendments must commence to review the problems caused by the law's enforcement and reduce confusion.
Jeong pointed out that confusion and uncertainty are growing as multiple labor unions demand individual negotiations with prime contractors in a situation where the negotiating counterpart is unclear. Song Eon-seok, the PPP's floor leader, revealed that 985 subcontracting unions are demanding negotiations with 367 prime contractors. According to data obtained by Rep. Kim So-hee's office from the Ministry of Employment and Labor, the number of subcontracting unions demanding negotiations with prime contractors increased from about 400 last month to 985 as of the 6th of this month. These negotiation demands initially started in the automotive, shipbuilding, and construction sectors, and have since spread to public institutions, logistics, and railway fields.
He cited the specific case of POSCO, where the reality of having to negotiate with multiple unions individually has materialized. In the POSCO case, multiple subcontracting unions demanded separate negotiations, and the Labor Relations Commission recognized the prime contractor's status as an employer, making separate negotiations per union possible. Consequently, 'negotiation unit fragmentation,' where unions belonging to different higher federations conduct separate negotiations, is spreading across industries.
Jeong added that if this situation is left unchecked, it could increase corporate legal risks, lead to reduced investment, and result in job losses. He also raised the need for broader discussions on labor market issues, including improvements to the comprehensive wage system and the reform of wage structures.
The People Power Party is gathering opinions from the industrial sector through its 'Yellow Envelope Act Rights Protection Reporting Center' and plans to once again urge the formation of a consultation body for legal amendments.