South Korea announces principles for second phase of public institution relocation

South Korea's Ministry of Land, Infrastructure and Transport has established five core principles for the second phase of relocating public institutions to regional areas. The principles include minimizing the number of institutions remaining in the Seoul metropolitan area, concentrating placements within existing innovation cities, linking institutions with local universities and industries, expanding self-sufficient residential bases, and ensuring a rapid relocation process.

The government plans to finalize and announce the specific relocation plan in the fourth quarter of this year following a period of public consultation and deliberation by the Local Era Committee. To encourage relocation, the government intends to strengthen support compared to the first phase, including new long-distance relocation allowances and early relocation incentives to help stabilize housing and childcare for employees.

However, the plan has faced criticism regarding potential rushed restructuring. Concerns have been raised in regions like Incheon, where several public institutions face consolidation or relocation. For instance, the Incheon Port Authority is slated to be integrated into a unified Korea Port Authority, and the Aviation Safety Technology Institute is to be absorbed by the Korea Transportation Safety Authority. Critics argue that such consolidations may undermine regional strategic industries and the specialized functions of local hubs.