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South Korean President Yoon Suk-yeol stressed the need for labor reforms in the country this week. Yoon said that reforms must be done in order to improve the way the country functions.
Speaking at a finance ministry briefing on the economic strategy for 2023 on Wednesday, Yoon stressed the importance of making reforms in the labor market. Yoon said that reforms should be a top priority for his administration in order to improve the country.
“We should significantly change labor practices in step with the fast-changing industrial structure and changes in labor demand,” said Yoon, adding that the rule of law should also be applied in labor practices.
Yoon also said that the country’s education system and public pension service also needed to be reformed. The South Korean leader said the tax burden on those who own multiple homes should be lowered in order to ease the burden of renters.
On the same day, the government pledged policy support and deregulation in order to boost economic growth which is anticipated to slow down in 2023 at a faster pace than expected. Seoul predicted that the country’s economic growth would slow down by 1.6 percent in 2023 from an estimated 2.5 percent compared to the South Korean central bank’s forecast back in November of 1.7 percent.
Speaking at a news conference, finance minister Choo Kyung-ho said the lowering economic forecast reflects the worsening global economic outlook. The government pledged to lower taxes and ease regulation on the property sector following Yoon’s order to do so.
South Korea is also facing flared tensions with North Korea following its record number of missile tests, part of those in protest to Seoul’s bolstering of its defenses with the United States and Japan.
The South Korean defense ministry said on Thursday that live-fire drills are being considered by the US and South Korea, the first large-scale live-fire joint drills in six years in 2023 in light of growing threats coming from Pyongyang.
Defense ministry spokesperson Jeon Ha-gyu said the drills are being considered as the two allies discuss preparations to mark the 70th anniversary of the alliance in 2023.
