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Urgent Action Appeal!!

Korean Government Attempts to Ratify Numerous Neoliberal Policies!

At this moment, the South Korean government is attempting to legislate a 
neo-liberal economic enforcement ordinance for the Economic Free Zone 
Act (EFZA), popularly known as the special economic zone (SEZ) act. The 
act is planned to take effect from 1st July. Also, the Korea-Chile FTA 
awaits to be ratified in the National Assembly. 

We, a coalition of more than 100 civic and social organizations 
including Korean Confederation of Trade Unions, Korean Farmer's League, 
and Teacher's Union, are opposed to the Roh Moo-hyun government¡¯s plan 
to create Economic Free Zone (EFZ) and pass the Korea-Chile FTA. The 
EFZA will destroy ordinary people¡¯s lives. It is a vicious law that 
will only expand the freedom of corporation in all sections of society 
such as labor, education, environment, and health. 

We know too well that Maquiladora of Mexico not only failed to revive 
the Mexican economy but also deteriorated the standard of living for 
ordinary Mexican people. 

The South Korean government must not enact such an enforcement 
ordinance. The promulgation of this enforcement ordinance for the EFZA 
will only prove once and for all how anti-people the Roh Moo-hyun 
government is, contrary to what it proclaim to be. As a further blow to 
the injury, the South Korean government is fulfilling its duties to the 
WTO, once again proving to the world its willingness to be servile to 
the doctrines of trade liberalisation. 

However, the Korean people are not willing to let the government go 
ahead with the neoliberal deals. After a subdued period since last 
winter, Korean organisations are reviving and renewing the fight against 
the SEZs. So far the coalition has held press conferences, picket 
campaigns and mass demonstrations against the SEZ. In particular, about 
500 people gathered and marched through central Seou on 26th April, 
demanding for the government to abrogate its plans. Larger mobilisations 
are planned on 17th, 20th and the 30th June. At the same time, farmers 
will restart their camp out in front of the National Assembly against 
the Korea-Chile FTA and the WTO. The regular session of the National 
Assembly is scheduled to begin on 30th June. 

The struggles against the SEZ and FTAs are themselves struggles against 
the WTO and neoliberalism; however, actions that directly target the WTO 
process are being formulated among South Korean social movements. 
Therefore, by building the struggle against these neo-liberal policies, 
we, civic organizations and social movements of South Korea, hope to 
contribute to the building of the international movement against WTO. We 
earnestly hope that our struggle against the EFZA will become part of 
the international struggle against neo-liberal globalization. 

In the spirit of international solidarity, we would like to urge you and 
your organization to do the following. 

Please write protest letters to President Roh Moo-hyun and the Speaker 
of the National Assembly protesting the government¡¯s attempt to enact 
an enforcement ordinance for the Economic Free Zone Act and the 
ratification of the Korea-Chile FTA.

 

The President of Republic of Korea

1 Sejong-no, Jongno-ku, Seoul 110-820,  Republic of Korea 

E-mail: president at cwd.go.kr Fax: +82-2-770-2209


 

The Speaker of the National Assembly

1, Yoido-dong, Youngdeungpo-gu, Seoul 150-701, Republic of Korea

E-mail: leems at assembly.go.kr, Tel: +82-2-784-0911~3


 

Please cc. your emails and fax to the following contact numbers:

Email: kopa at jinbo.net, Fax: +82-2-778-4006





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Economic Free Zone Act Fact sheet

Labor: eliminates monthly leave and paid sick days or menstruation 
holiday, expands the scope of temp workers, limits collective action, 
evades the compulsory employment of physically challenged and elderly 
people.

Education: It allows a foreigner or foreign school to open an 
educational institution. If allowed without any restriction, Koreans 
will be able to attend foreigners¡¯ schools. Koreans will pay very high 
tuitions to attend such school. This will create a band of elite schools 
for the rich.

Environment:  For a foreign investment company engaged in development, 
34 laws related to environment will be ineffective. The EFZA is prior to 
all other domestic laws. This will reduce the environmental cost of the 
company resulting in environmental disaster.

Health: Health related facilities for foreigners are approved. They will 
not be covered by the national health insurance. This signals the 
beginning of medical institution for profit. Surely, this will lead to 
marketing of private health insurance and increase in medical cost.

Taxes:  Major taxes like corporate tax, income tax, property tax, and 
the comprehensive land tax will be reduced or exempted. National and 
local taxes will also be reduced or exempted.

Targeted Areas: According to the EFZA, EFZ is designated by Minister of 
Finance and Economy upon a request of a mayor or provincial governor. 
The Roh Moo-hyun government is trying to make the entire country into 
one EFZ. 

Qualification:  Any company with a foreigner owning 10% or more shares 
of the foreigners¡¯ stocks is effected by the law. In other words, all 
Korean companies would qualify.

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