South Korean President Moon Jae-in on Monday called for lawmakers to immediately pass a supplementary budget to create more jobs, saying the country's unemployment situation is "severe," and could turn into an "economic crisis" if left untouched.
Moon made the remarks in his parliamentary address, which marked the first time a president has called for an extra budget. It was Moon's first address since entering office on May 10.
His speech brushed aside many of the other big issues facing South Korea, such as foreign policy, as he chose to focus on job creation and the economy.
South Korean President Moon Jae-in speaks at the National Assembly on the government budget on June 12, 2017 in Seoul, South Korea. /VCG Photo
The government submitted an 11.2 trillion won (9.95 billion US dollars) additional budget bill for parliamentary review last week.
Moon's party holds 40 percent of the 299 seats in the National Assembly, and Moon needs the support of more than 30 opposition lawmakers for the bill to pass.
The main opposition party, Liberty Korea Party, has opposed the proposed extra budget.
Before Moon’s speech at 2 p.m. local time, the People’s Party and Bareun Party agreed to participate in the bill’s deliberation.
"During the election campaign, all of us (presidential candidates) may have different methodologies, but agreed that creating good jobs is the most urgent task for our economy,” Moon said. "Growth without employment must be stopped. There must be a paradigm shift, from jobs being created as a result of growth to achieving growth by creating jobs".
Budget will go toward 'citizens' needs'
South Korean President Moon Jae-in speaks at the National Assembly on the government budget on June 12, 2017 in Seoul, South Korea. /VCG Photo
Moon has promised to create 810,000 public sector jobs within his single five-year term. One of his main goals is to resolve soaring youth unemployment, with the youth unemployment rate hovering near a record high of 11.2 percent in April.
Moon plans to create some 12,000 new jobs in the public safety and security sector, such as new police officers, postal workers and animal quarantine officials.
Another 24,000 new jobs will be added in the social services sector, as the government looks to establish up to 360 new state-run childcare centers.
Moon mentioned firefighters in particular, citing the lack of staff and difficult working conditions. He said he will employ 19,000 additional firefighters.
The budget will also be used to create about 5,000 new jobs in the private sector. The government will provide wages for every third new worker hired at a small or medium-sized enterprise for up to three years, the president said.
To bolster more job opportunities for women, especially those on maternity leave, maternity leave subsidies will be doubled for the first three months, and they will be provided with career and business consultation services.
Moon also pledged to improve the country's pension scheme and medical care for the elderly.
How is the budget financed?
About 8.8 trillion won (7.8 billion US dollars) of the extra budget will be financed by excess tax revenue expected this year, while the remaining 2.4 trillion won (2.1 billion US dollars) will come from government revenue left over from 2016, and public funds managed by state-owned companies.
The supplementary budget will, if approved, be added to the 400.5 trillion won (341.4 billion US dollars) budget for 2017 that was approved by the National Assembly last year.
