Despite Ministry of small-medium venture promoted… Innovative growth ‘in slow motion’ due to job creation and minimum wage
Park Jong Jin | truth@ | 2018-05-10 10:24:20

Hong Jong-hak, minister of small and medium-sized venture businesses (left), who visited the small-scale business district in Changshin-dong, Seoul, in January, encourages small businesses and workers. After his inauguration, Hong focused on promoting job security funds. Digital Times DB

Moon Jae-In Government 1 year anniversary and mid-term policy achievement

President Moon’s government is stuck in the direction of income-led growth in a year`s time, and it is said that it is not prepared to lay the foundations for innovation growth by securing growth engines for SMEs.

President Moon pointed out that he was neglected in helping businesses and industry grow and raise their competitiveness as he was buried in the issue of increase in minimum wage, job enlargement, and shortening working time.

The small and medium-sized firms are mainly concerned of the one-year performance of the government. The government has tried to solve the problems of small and medium firms such as technology dealing and labeling, and raised the expectation of resuming inter-Korean economic cooperation recently, but it is not enough to meet the expectation of the industry that was promoted by the promotion of small and medium venture enterprise.

Representatives of multiple small and medium firms said, "As the government grows in jobs and runs only on issues of minimum wage, it is in the back of the enterprise." When companies grow, their jobs naturally increase.

Korean government or public organization has been involved in the field of the city, which is designated as an employment crisis area, such as Gunsan, Tongyeong and Goseong, where the closure of GM plant in Korea has been overturned.

Some critics state that the policies included in the government`s national affairs are not speeding up properly. The policy, which is a matter of hope for SMEs such as the distribution of cooperative profits and the abolition of the promissory note system, was included in the top 100 national affairs. However, it has not been specified in detail for over a year.

Meanwhile, the policy for win-win cooperation between large and small companies, which was supposed to be announced last month, was abruptly delayed, and the policy on promissory notes, which was originally revealed this month, is likely to be delayed until the second half.

"The venture and small business policy is steadily being revealed. However, there is no visible support policy for small and medium enterprises other than the support of smart factories and the support of" budget sprinkling ", which is no different from that of SMEs." Many SMEs I do not think there is a solution to prevent it, "he said. There is a lack of basic concerns about how to make more than 70 regulations applied after graduating from SMEs.

On the other hand, the industry also points out that the absence of medium-term presence is also a problem. It has been two hearing sessions and has been working hard to promote job stability funds in the late stage of the business since the launch in July of last year. It has failed to secure its role as a policy control tower for SMEs in the government.

Park Cheol-woo, a professor at the Korea Industrial Technology Institute, stated, "We have not been able to abandon our policies to distribute and implement policies to support companies such as smart factories and research centers with a budget that has not increased significantly compared to the days of the Small and Medium Business Administration. And it is the first year that we have seen the limitations in fostering small and medium firms."

By Park Jong Jin truth@

[ copyright ⓒ The Digitaltimes ]