The proposal to designate May 1 Labor Day as an official public holiday passed the Cabinet meeting and will take effect from the first of next month.
President Lee Jae-myung presided over the Cabinet meeting, which also served as the fourth emergency economic review session, at the Blue House on Tuesday. The Cabinet deliberated and approved three bills for promulgation and 12 presidential decrees. Labor Day was codified as a paid holiday in 1994 but did not apply to civil servants, teachers, and special employment workers such as delivery drivers who do not qualify as "workers" under the Labor Standards Act, leaving them without a guaranteed day off. As criticism over inequity between the private and public sectors persisted, the government actively pursued designating it as a public holiday and decided to implement the change starting this year.
The Cabinet also approved the public notice of a constitutional amendment. Under the constitution, a proposed amendment initiated by a majority of sitting National Assembly members or by the president must be publicly announced by the president for at least 20 days. President Lee said, "It is the natural course to pursue constitutional revision partially and in stages, starting with specific matters on which sufficient public consensus has already been formed." He added, "This time, bipartisan cooperation is needed to at least open the door to constitutional amendment at a feasible level," and stressed, "Nearly 40 years have passed since the current constitution was drafted, and all citizens agree on the need for a constitutional revision that properly reflects the changes in society." On May 3, 187 ruling and opposition lawmakers — excluding the People Power Party — submitted a constitutional amendment to the National Assembly. The key provisions include mandating National Assembly approval for the declaration of martial law and enshrining the Busan-Masan Democratic Uprising and the May 18 Democratization Movement in the preamble of the constitution.
The Cabinet also approved a revision to the enforcement decree of the Framework Act on Youth. The amendment raises the mandatory ratio of youth members among appointed commissioners on government committees from at least 10% to at least 20%, strengthening youth participation in policy decision-making. A revision to the enforcement decree of the Inclusive Finance Act was also approved. The core measure raises the contribution rate that financial companies pay to the Korea Inclusive Finance Agency to secure funding needed for lowering interest rates on policy-based financial products for low-income earners.
A partial revision to the enforcement decree of the Local Tax Act was also approved. Synthetic nicotine will be classified as tobacco and subject to tobacco consumption tax starting May 24. However, the tax will be reduced for two years in consideration of the burden on small business owners and small-scale manufacturers and distributors. A revision to the enforcement decree of the Elementary and Secondary Education Act also passed the Cabinet, enabling schools to hold classes on sudden holidays such as temporary public holidays, which is expected to ease the burden on dual-income couples.