Mayor Park should suspend populist cash program
Seoul Mayor Park Won-soon should rethink his plan to supply cash to people in their 20s struggling without jobs.
The Seoul Metropolitan Government is pushing ahead with the impromptu program despite opposition from the central government. The city government will start to take in applications from people in their 20s starting next week to provide monthly subsidies of 500,000 won to some 3,000 people for up to six months. Through the program, the city aims to provide a bit of financial assistance and encouragement to young adults amid the current high youth unemployment.
Mayor Park's intention is honorable but it is a populist scheme that cannot serve as a long-term solution to lifting the hardships of the unemployed. His unilateral push for the plan is irrational when considering that a similar plan in Seongnam, Gyeonggi Province, has already caused much controversy. Park should have carefully reviewed Seongnam's case and taken a more cautious approach toward such a costly program.
Another serious problem is that if Seoul continues this plan, it may lead to other mayors resorting to populist programs like cash allowances. This will aggravate the finances of municipal governments, many of which are not self-sufficient and rely heavily on funding from the central government.
Considering the negative side effects, it will be a responsible move for the Seoul mayor to admit the fallacies of his cash allowance program and suspend it. Mayor Park should collect opinions from Seoul's young adults from various walks of life to learn what they really want from his administration in improving their livelihoods.
In fact, even the young people are against the program. In a recent survey, 64.2 percent of respondents in their 20s and 30s disapproved of the plan.
The main reason for their opposition was that they feared it would undercut the self-sufficiency of the young people. There were also many who showed concern about the vague criteria for selection of the recipients of the subsidies, such as a "determination to participate in society" or "will to seek employment." Also, since the program covers only 3,000 people, it will not be effective in producing the desired outcome of facilitating the employment of young people in Seoul. Only 4.4 percent of respondents said that they were positive about the cash allowance.
Experts suggest that it is more important for the city to implement measures that actually lift the financial burden on the young unemployed people, such as a discount for public transportations or fees related to certificates that young jobseekers pursue to improve their resumes. Mayor Park should reflect such views in his welfare programs for the unemployed youth.
Many young people, in particular, are stuck in an endless cycle of short-term positions and internships. A recent survey shows that the unemployment rate among people aged between 15 and 29 hit a record monthly high of 10.9 percent in April. Rather than short-sighted programs, mayors should focus on fundamental solutions to employment, such as creating more quality jobs.
Seoul Mayor Park Won-soon should rethink his plan to supply cash to people in their 20s struggling without jobs.
The Seoul Metropolitan Government is pushing ahead with the impromptu program despite opposition from the central government. The city government will start to take in applications from people in their 20s starting next week to provide monthly subsidies of 500,000 won to some 3,000 people for up to six months. Through the program, the city aims to provide a bit of financial assistance and encouragement to young adults amid the current high youth unemployment.
Mayor Park's intention is honorable but it is a populist scheme that cannot serve as a long-term solution to lifting the hardships of the unemployed. His unilateral push for the plan is irrational when considering that a similar plan in Seongnam, Gyeonggi Province, has already caused much controversy. Park should have carefully reviewed Seongnam's case and taken a more cautious approach toward such a costly program.
Another serious problem is that if Seoul continues this plan, it may lead to other mayors resorting to populist programs like cash allowances. This will aggravate the finances of municipal governments, many of which are not self-sufficient and rely heavily on funding from the central government.
Considering the negative side effects, it will be a responsible move for the Seoul mayor to admit the fallacies of his cash allowance program and suspend it. Mayor Park should collect opinions from Seoul's young adults from various walks of life to learn what they really want from his administration in improving their livelihoods.
In fact, even the young people are against the program. In a recent survey, 64.2 percent of respondents in their 20s and 30s disapproved of the plan.
The main reason for their opposition was that they feared it would undercut the self-sufficiency of the young people. There were also many who showed concern about the vague criteria for selection of the recipients of the subsidies, such as a "determination to participate in society" or "will to seek employment." Also, since the program covers only 3,000 people, it will not be effective in producing the desired outcome of facilitating the employment of young people in Seoul. Only 4.4 percent of respondents said that they were positive about the cash allowance.
Experts suggest that it is more important for the city to implement measures that actually lift the financial burden on the young unemployed people, such as a discount for public transportations or fees related to certificates that young jobseekers pursue to improve their resumes. Mayor Park should reflect such views in his welfare programs for the unemployed youth.
Many young people, in particular, are stuck in an endless cycle of short-term positions and internships. A recent survey shows that the unemployment rate among people aged between 15 and 29 hit a record monthly high of 10.9 percent in April. Rather than short-sighted programs, mayors should focus on fundamental solutions to employment, such as creating more quality jobs.
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