1 million won for each 3.2 million people... "Favorite penny"

<Anchor> The

government has introduced a support plan to the self-employed who were unable to do business properly at the end of the year due to social distancing. In all, it was decided to invest 4.3 trillion won and pay 1 million won to each person. However, the self-employed are strongly opposed to it, saying it is a generous amount of money.

This is reporter Jang Hoon-kyung.

<Reporter>

There are three main ways to support small business owners announced by the government.

The most striking thing is that it will provide quarantine support to 3.2 million small businesses.

An additional 2.3 million businesses, including the travel and performance industries, that were not eligible for loss compensation were added to the support list.

[Hong Nam-ki / Deputy Prime Minister of Economy: If only a decrease in sales is confirmed, 1 million won in cash will be provided regardless of the sales volume or the level of quarantine measures.] The

target of loss compensation

will

also be expanded.

120,000 businesses with limited personnel and facilities, such as beauty and kids cafes, are newly included.

Lastly, in order to alleviate the burden of applying the quarantine pass, we decided to support actual expenses up to 100,000 won when purchasing quarantine items such as electronic access list terminals and body temperature monitors.

In all, it is worth 4.3 trillion won.

Small business owners immediately protested.

The Federation of Small Businesses criticized that the 1 million won in quarantine subsidy could not cover the labor cost for quarantine pass inspection.

Related organizations such as the Korea Food Service Industry Association also said they are preparing a lawsuit to claim 100% compensation from the government and are considering group closures.

[Lee Chang-ho/CEO of the National Hope Federation: I received (government subsidy) for about a year, then you can think of it as receiving support for only about a month's rent. You missed the end of the year, wasn't 1 million won a desk administration?] The

government announced that it would implement the self-employed small business support project reflected in the budget and fund next year as quickly as possible, but the small business owners are urgently demanding to compensate them properly, saying it is a matter of survival. .

(Video coverage: Jeong Seong-hwa, Kim Nam-seong, Video editing: Lee Seung-jin)

---

<Anchor>

[Reporter Hoon-Kyung Jang: The government is planning to use the existing list of loss compensation companies to determine the primary payment target within the next week. It is a policy to pay priority to businesses with limited business hours that are expected to suffer significant damage. We plan to utilize the online system that has accumulated over the past four times as a subsidy for small business owners. The government announced that it would reveal the specific timing of the quarantine subsidy next week.]

[Reporter Hoon-Kyung Jang: The biggest difference is the rent, which the self-employed say the biggest burden. In the case of current loss compensation, if the rent cannot be accurately identified, it is based on the national average rent. This includes small business owners and small business owners who report rent as an estimate. It is a structure in which business owners in high-rent areas such as Gwanghwamun, Gangnam, and Hongdae in Seoul are at a disadvantage. So, although business owners are demanding to reflect the average rent for each region rather than the whole country, the government is reluctant to say that the payment speed will inevitably be delayed if there are so many things to check.]

[Reporter Hoon-Kyung Jang: Recently, the Bank of Korea released a data on how the government debt-to-GDP ratio changed four days ago before and after the corona virus. While Korea increased by 7%p, developed countries increased by 20%p on average. That means other countries have been actively spending their money. In terms of the scale of support for small businesses, the government is in a position that it is a little smaller than that of the United States or Japan, but more than that of the United Kingdom or France. However, the ruling party is discussing the supplementary budget while talking about full compensation and first compensation, and the opposition party, which has been in conflict with each other, is showing a different attitude that it can be considered.]

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