Financial institutions oppose gov't's relocation plan

Financial institutions are vehemently opposing the South Korean government's plan to relocate public institutions from Seoul to provincial areas, according to industry experts. The Ministry of Land, Infrastructure and Transport has initiated a public opinion collection process to determine which institutions will be moved. However, the relocation plan is still in its preliminary stages, lacking a comprehensive timeline or list of affected institutions. Despite opposition, the government remains committed to the relocation initiative.

While all institutions oppose moving to the provinces, the land ministry maintains that the relocation plan cannot be abandoned due to their strong opposition. An official from the ministry stated that a proper explanation from the institutions for remaining in Seoul could be acceptable.

Collective actions have been taken by financial institutions in response to the relocation plan. The Korea Financial Industry Union, representing financial workers nationwide, announced plans to hold a rally and launch a general strike if the government persists with the relocation. Ninety-six percent of union members supported the strike in a recent vote. The union argued that the plan is a political move to weaken policy lenders by excluding financial workers from Seoul.

Unionized workers at major financial institutions like the Korea Development Bank, Industrial Bank of Korea, and Export-Import Bank of Korea joined forces to oppose the plan, contending that relocation would diminish their expertise and roles as policy-financing institutions. The union of the Financial Supervisory Service also stated that the agency should stay in the capital to maintain effective supervision.

Other groups, such as the National Agricultural Cooperative Federation and other cooperatives, have also voiced their disapproval of the relocation plan. Relocation has been a long-standing government strategy aimed at promoting balanced national development, as a significant portion of South Korea's population resides in Seoul and its surrounding regions.

The government established Sejong City in the central region a decade ago and relocated several major government ministries there, including the Ministry of Finance and Economy and the Ministry of Trade, Industry and Resources. Recently, the Ministry of Oceans and Fisheries relocated to Busan, the southeastern port city, at the end of last year.