South Korean government offices have begun making administrative actions to meet new President Moon Jae-in’s economic agenda to boost job security through increased public-sector jobs and conversion from irregular status to permanent payroll.

The National Tax Service (NTS) has offered to exempt or suspend regular tax audits for small and mid-sized companies that increase full-time workers by more than 2 percent.

The ministries in charge of ICT and industry and energy have commanded their umbrella entities on transition of contract staff to permanent payroll.

The tax authority in its report to the advisory committee for state affairs planning that also acts as a presidential transition team for Moon on Saturday vowed to come up with various tax incentives to back the new administration’s agenda to boost decent-paying jobs.

The NTS will start off by exempting or postponing tax audits on small and medium-sized firms proposing to increase full-time regular jobs by 2 percent this year from the previous year. The job increases must be in staff on permanent payroll and should not include foreigners, workers on contract on one year or less basis, executives, and large shareholders.

A firm with sales of 30 billion ($ 26.8 million) or less will receive the benefit if it ups permanent jobs by 2 percent and bigger company with sales from 30 billion to 100 billion won would be granted upon increasing regular jobs 4 percent or more.

Government offices are accelerating transition of irregular workforce to permanent status to encourage similar moves in the private sector.

Forty-one institutions and quasi-government agencies under the trade, industry, and energy ministry including the Korea Electric Power Corp. (KEPCO) and Korea Hydro & Nuclear Power Co. (KHNP) held an emergency meeting and discussed ways to change the staff profile upon order from the planning committee.

There are nearly 30,000 irregular employees working at public and quasi-public companies under the trade ministry. KEPCO hires about 7,700 non-regular and agency workers and KHNP about 7,300.

By Chun Jung-hong and Jin Young-tae

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]