<Anchor> The
government promised to compensate those who could not do business properly due to changing quarantine guidelines by adding cash subsidies. However, small business groups demanded 100% loss compensation and foreshadowed collective action.
Reporter Hoon-Kyung Jang reported.
<Reporter>
All reservations for this month were canceled when social distancing was announced at a pub in Gwanghwamun, Seoul.
Although I received 2 million won as compensation for losses in the third quarter, it is less than 3 million won a month in rent.
[Kim Se-jong/Hope shop owner: (3rd quarter loss compensation) I was paid an amount that was not even the monthly rent. There are too many cases where rent and labor costs were not properly calculated for loss compensation.]
Considering these difficulties, the government decided to increase compensation for losses in the fourth quarter of this year and the first quarter of next year.
First, we greatly expand the target of payment.
So far, only companies that have closed their doors or have restricted business hours have been compensated, but he said that he will include businesses that have suffered damage due to restrictions on the number of people, such as amusement parks and wedding venues, in the scope of loss compensation.
He also emphasized that the lower limit of compensation will be raised from 100,000 won to 500,000 won per quarter, and that a new quarantine subsidy will be established to eliminate blind spots.
[Lee Eun-cheong/Director of the Corona 19 Recovery Support Group of the Ministry of SMEs and Startups: There are still businesses that are not eligible for loss compensation, and there is a consensus within the government about the need for support for them.]
Small business groups say that 100% of the loss should be compensated, and they are in the position to wait for the government's follow-up measures.
Six organizations related to the Korea Food Service Industry Association, entertainment bars, and karaoke bars announced that they would hold a meeting next week to review the group closure of 1 million members.
(Video coverage: Hwang In-seok, video editing: Park Ji-in)