Proposed Bill: Partial Amendment to the Financial Investment Services and Capital Markets Act

Proposed by Rep. Han Chang-min (Social Democratic Party of Korea)

● This bill would strengthen disclosure obligations for private equity funds, restrict their involvement with the national pension fund, require the establishment of a conflict-of-interest prevention system and regulate leveraged buyouts.

Proposed Bill: Partial Amendment to the Act on Restriction on Special Cases Concerning Taxation

Proposed by Rep. Kim Eun-hye (People Power Party)

● This bill would grant an income or corporate tax deduction equal to 10 percent of production costs to business entities that domestically manufacture products using national strategic technologies, such as semiconductors, secondary batteries, future vehicles, biotechnology and clean hydrogen.

Pending Bill: Partial Amendment to the Trade Union and Labor Relations Adjustment Act

Proposed by Rep. Lee Yong-woo (Democratic Party of Korea), Rep. Shin Chang-sik (Rebuilding Korea Party) and Rep. Jeong Hye-kyeong (Progressive Party)

● This bill would expand restrictions on corporate damage claims against unions and redefine the term “worker” to include union organizers and members, while broadening the scope of “employer” to include those with de facto control over the working conditions of workers.

Promulgated Bill: Enforcement Decree of the Motor Vehicle Management Act

Competent Authority: Ministry of Land, Infrastructure and Transport

● Effective Aug. 14, the amended Enforcement Decree imposes a penalty surcharge of two percent of the sales of the relevant vehicle model on any vehicle manufacturer that fails to comply with requirements for vehicle software updates, including ensuring normal vehicle operation after updates.

Administrative Announcement: Partial Amendment to the Enforcement Decree of the Act on the Promotion of the Development, Use and Diffusion of New and Renewable Energy

Competent Authority: Ministry of Trade, Industry and Energy

● The draft amendment would require public parking lots with 80 or more parking spaces to install new and renewable energy facilities, such as solar power generation facilities.

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The Korea Herald republishes a weekly legislative report by local law firm DR & AJU LLC to provide the latest information on bills approved, proposed, pending and set to be promulgated. — Ed.

For queries about the bills, contact cr@draju.com.