South Korea delays second phase of public institution relocation

The South Korean government has delayed the announcement regarding the second phase of relocating public institutions to regional areas. Originally expected to be discussed during a cabinet meeting on the 25th, the plan was removed from the agenda to allow for further public consultation and review of target institutions.

Minister of Land, Infrastructure and Transport Kim Yun-deok stated that the government expects to outline a plan around October or November. The relocation process aims to move approximately 350 institutions to innovation cities to promote balanced regional development, though the Minister noted that not all entities will be relocated.

The delay follows significant pushback from labor unions. The Financial Labor Union has threatened a general strike in early next month, arguing that maintaining financial institutions in Seoul is essential for industrial concentration. Other unions have criticized the government for not sufficiently considering the unique legal and functional characteristics of specific institutions during the planning process.