A bill that could open the door to a third term for Kim Ki-moon, chairman of the Korea Federation of Small and Medium Business (KBIZ), is under debate in the National Assembly. The proposal has sparked controversy between those arguing for abolishing term limits based on equity with other business groups and cooperative autonomy, and opponents concerned about prolonged tenure by a specific executive.
According to industry sources on the 15th, the legislation subcommittee of the National Assembly's Trade, Industry, Energy, SMEs and Startups Committee discussed the amendment to the Small and Medium Enterprise Cooperatives Act that would eliminate term limits for the KBIZ chairman on the 11th, but failed to reach a conclusion and decided to continue deliberations.
The amendment, proposed by Democratic Party lawmaker Chung Jin-wook, would abolish term limits for both the KBIZ chairman and heads of SME cooperatives. Under current law, the KBIZ chairman can serve one consecutive term, while cooperative heads can serve two.
If the bill passes, Chairman Kim would be eligible to seek additional terms. The KBIZ chairmanship carries a four-year term. Kim served as the 23rd and 24th chairman from 2007 to 2015, returned as the 26th chairman in 2019, and was reelected as the 27th chairman in 2023. His current term expires in February next year.
During the review process, lawmakers expressed divergent views and failed to reach consensus. Some lawmakers reportedly opposed the bill, citing concerns about Kim's potential long-term tenure. "If term limits are abolished, a decision-making structure centered on a specific individual could become entrenched," they said.
The Ministry of SMEs and Startups, the relevant government agency, also effectively expressed opposition, stating that "careful review is necessary." In its review report to the committee, the ministry explained, "Term limit regulations were introduced to prevent organizational harm from prolonged tenure by specific executives," adding that "recent trends in other laws, including the Agricultural Cooperatives Act, have been to strengthen term limits for cooperative heads." The ministry also noted that the Ministry of Personnel Management has designated KBIZ as a public service-related organization, unlike other business groups.
Industry opinion is divided on Chairman Kim's potential reelection. The KBIZ labor union labeled the bill a "dictatorship bill," stating, "A structure where leadership remains unchanged for extended periods weakens organizational representation and accountability, and could negatively affect the balanced reflection of diverse SME voices." Former KBIZ chairmen also criticized the move, saying, "The current term limits serve as an institutional safeguard to prevent privatization of the organization."
On the other hand, the Committee for Promoting Amendment of the Small and Medium Enterprise Cooperatives Act supports the revision. The committee submitted a petition calling for abolition of term limits, arguing that "legally mandating term limits is excessive regulation that infringes on cooperative members' autonomous and independent right to choose." The petition was backed by 480 cooperatives under KBIZ.
