[Editorial] Wrong instruction

The South Korean military captured a North Korean boat on July 27, 2019, after it crossed the Northern Limit Line into South Korean waters in the East Sea. About 10 days after it was seized, an administrative official at President Moon Jae-in’s Cheong Wa Dae was found to have summoned Park Han-ki, chairman of the Joint Chiefs of Staff, to question him about why he refused to follow an instruction to release the boat back to the North. At the time, Kim You-geun, the first deputy chief of

July 7, 2022

[Editorial] Time for self-reflection

It is rare for a top leader to downplay public approval ratings, whose key function is to send out a warning when things go awry. President Yoon Suk-yeol took a step further, saying he “pays no attention” to approval ratings and calling them “meaningless” -- to the bewilderment of the public. That is the controversial comment Yoon made Monday when asked by reporters about the decline in his approval ratings. According to a survey by Realmeter released Monday, 50.2 per

July 6, 2022

[Editorial] Louder warning sound

South Korea posted a record-high trade deficit of $10.3 billion during the first half of this year. The figure exceeds the former record of $9.1 billion in 1997 when the Asian currency crisis hit the nation. The nation recorded trade deficits for three consecutive months from April. It is the first time since the 2008 financial crisis that a three-month streak of trade deficits has occurred. Compared with the same period last year, export increase rates fell to 5.4 percent in June, dipping b

July 5, 2022

[Editorial] Minimize side effect

South Korea’s minimum hourly wage for 2023 has been set at 9,620 won ($7.41), a 5 percent increase from this year. The new rate translates to a monthly wage of 2.02 million won, surpassing the 2 million won mark for the first time. But neither the labor nor business side were satisfied with the outcome, posing a problem for the Yoon Suk-yeol administration, amid concerns about deepening economic woes including surging inflation. Made up of 27 representatives -- nine each from labor, bu

July 4, 2022

[Editorial] Pain-sharing

Deputy Prime Minister and Finance Minister Choo Kyung-ho has requested large companies refrain from raising wages excessively. Choo said in a breakfast meeting with leaders of the Korea Enterprises Federation on Tuesday that wages have recently increased sharply among large companies and some IT firms. He said that this trend shows signs of spreading to other industries and companies. He was concerned that an excessive wage rise among large companies may aggravate high inflation. He said he wan

July 1, 2022

[Editorial] Sustainable energy policy

South Korea’s electricity rate is now set to rise by 5 won (0.4 cent) per kWh, starting from July, to grapple with soaring fuel costs and snowballing losses at state-run utility Korea Electric Power Corp. But it is doubtful whether this type of intermittent electricity rate hike could solve the fundamental energy problem facing the nation, much less the long-distorted pricing structure of Kepco. At the same time, the rate increase is feared to accelerate the buildup of inflationary press

June 30, 2022

[Editorial] Indispensable control

Minister of the Interior and Safety Lee Sang-min said on Monday that he will create a “police bureau” within the ministry as early as possible. If the bureau is established, it would mark the first time in 31 years for the Interior Ministry to exercise direct control over police since the law enforcement agency was spun off as an outside organization of the ministry in 1991 as part of efforts to ensure its independence and neutrality. Lee also said in a press conference that he wi

June 29, 2022

[Editorial] NATO summit

President Yoon Suk-yeol departed Seoul on Monday to participate in the upcoming NATO summit scheduled from Tuesday to Thursday in Madrid, amid a mix of hopes for and concerns about Korea’s diplomatic relations. It is hoped that Yoon will not only make his in-person debut on the multilateral stage through 14 meetings during the summit, but also explore ways to improve South Korea’s relations with other nations at a critical juncture related to the war in Ukraine. The trip marks th

June 28, 2022

[Editorial] Imperative reform

Minister of Employment and Labor Lee Jeong-sik announced “directions for labor market reform” on Thursday. The most significant innovation concerned the country‘s 52-hour workweek. The ministry will review an option of allowing employers to calculate overtime on a monthly basis. Currently, it is calculated by the week. This scheme is not mandatory, but premised on labor agreements at individual places of work. 　 The existing Labor Standards Act stipulates a workweek cannot

June 27, 2022

[Editorial] Taking off

South Korea made a major step forward in the intensifying space race by successfully launching its homegrown space rocket, Nuri, and setting the stage for more ambitious space projects going forward. The 200-ton Nuri space rocket lifted off from the Naro Space Center in Goheung, South Jeolla Province, at 4 p.m. on Tuesday, and an hour later the science minister described the launch as a “monumental moment” not just in the nation’s push to advance its science and technology pr

June 24, 2022

[Editorial] Probe needed

The Yoon Suk-yeol administration is said to be considering an investigation into the previous administration’s forced repatriation of North Korean fishermen despite their intention to defect to South Korea. President Yoon said Tuesday that many people wonder why the Moon Jae-in administration sent them back to North Korea, saying many questions have been raised. He said that calls for investigation are under review. The repatriation incident exposed serious problems and sparked calls for

June 23, 2022

[Editorial] Taming inflation

High-ranking government officials are often quick todraw up as rosy an outlook as possible but slow to admit a looming crisis. But there are some exceptions, such as the comment made by President Yoon Suk-yeol on Monday. Yoon admitted that there are few fundamental solutions to the current economic challenges as countries across the world are raising interest rates to rein in rising inflation. In a striking move to tame inflation, the US Federal Reserve hiked its benchmark rate by three-quarte

June 22, 2022

[Editorial] Uncover truths

A probe has been launched into the previous administration’s questionable handling of a tragic incident in which Lee Dae-jun, a South Korean fisheries official, was shot to death and burned by the North Korean military near the western sea border in 2020. At the heart of the dispute is whether the Moon Jae-in administration had distorted facts regarding the death of the official. There are rising suspicions about why Cheong Wa Dae archived key documents as part of Moon’s classified

June 21, 2022

[Editorial] Obstacle to new course

The Yoon Suk-yeol administration last week announced an outline of its economic policies for the next five years, but they were stalled immediately due to opposition by the Democratic Party of Korea. The administration said it will scrap the previous administration’s government-led growth paradigm and encourage the private sector, particularly companies, to take the lead in revitalizing the Korean economy. It will lower the top rate of corporate income tax and relax business regulations

June 21, 2022

[Editorial] Wrong signal

The 22,000-strong Cargo Truckers Solidarity, in affiliation with the Korean Confederation of Trade Unions, have put an end to their walkout eight days after going on a general strike, much to the relief of manufacturers and consumers alike. To some, economic conditions at home made a settlement in this strike inevitable. The move, however, could set a bad precedent for this government of compromising its own principles of sticking to a market economy and the rule of law. The government and the

June 17, 2022

[Editorial] Strong headwinds ahead

Alarming signs about the South Korean economy are popping up everywhere. Inflation is soaring, stock markets tumbling, the local currency’s value dropping. Growth outlook is turning gloomier while investors across the world are turning jittery as the US Federal Reserve is speculated to hike interest rates at a faster pace. The combination of ominous signs is dreadful enough to spook both policymakers and investors. But being aware of impending economic pitfalls is not enough; decisive an

June 16, 2022

[Editorial] A brake on government

The main opposition Democratic Party of Korea proposed a bill that will strengthen the National Assembly’s control of government decrees. The proposed revisions to the National Assembly Act were authored by Cho Eung-cheon, a lawmaker from the party. It would allow standing committees of the Assembly to request relevant administrative agencies modify or revise their decrees and enforcement ordinances if the Assembly judges them inconsistent with the purpose of laws. If asked to modify dec

June 15, 2022

[Editorial] Higher education mismatch

President Yoon Suk-yeol recently asked the Education Ministry to recast its policies in order to train more semiconductor engineers at universities, a topic that draws keen attention amid the protracted shortage of chips. South Korean chipmakers such as Samsung Electronics and SK hynix are eagerly searching for graduates with expertise relevant to the semiconductor technology. Given the two top-ranked chipmakers’ clout on the global market and US President Joe Biden’s high-profile

June 14, 2022

[Editorial] Uncomfortable cohabitation

More than two-thirds of the heads of government-funded institutions have over a year in office left until their terms expire, based on an analysis of public institution information disclosed by the Ministry of Economy and Finance. Of the 370 heads of government-funded institutions, 256, or 69 percent, have more than a year left in office, the Ministry data showed. This means almost seven out of ten heads of government-funded institutions who were appointed by the President Moon Jae-in administr

June 13, 2022

[Editorial] Silencing dissent

President Yoon Suk-yeol officially reversed the nuclear phase-out policy of his predecessor, former President Moon Jae-in, in a bid to resolve the controversy that is closely linked to electricity rates. Unfortunately, the dispute is flaring up again. Shortly after the Moon administration was launched in 2017, the National Planning Committee was mapping out major policy plans, one of which was to phase out the country’s nuclear power plants. The plan itself was fraught with uncertainty a

June 10, 2022