Living Stabilization Funds Provided to Steel Industry Workers in Dong-gu, Incheon Amid Employment Crisis

For 5,250 current employees, retirees, and freight transport workers
Differentiated payments of 500,000 to 800,000 won per person

Up to 800,000 won in living stabilization funds will be provided to steel industry workers in the Incheon area who are facing employment difficulties amid the steel sector crisis.

On June 5, the Incheon Metropolitan Government announced that it will launch the “Incheon Steel Industry Support Project” in collaboration with the Ministry of Employment and Labor, the Incheon Chamber of Commerce and Industry, and the Incheon Employers Federation, to support the employment and livelihood stability of local steel industry and related sector workers.

This support project is being implemented following the Ministry of Employment and Labor’s designation of Dong-gu, Incheon, as a “Preemptive Response Area for Employment Crisis” in April. The total scale of the project amounts to 4 billion won.

The beneficiaries include current employees and retirees from steel companies, as well as freight transport workers related to the steel industry. In order to compensate for reduced real income, the amount will differ according to the number of dependents, with each person eligible for between 500,000 won and up to 800,000 won, provided in the form of Incheon e-Eum Card points, a local currency.

Applications can be submitted from June 8 to June 30, either through the integrated application system (incheonbuteumeeum.kr) or in person at the service desk set up at the Dong-gu Office Resident Happiness Center. After verifying eligibility, the city plans to complete the first round of point payments by the end of July.

Hyundai Steel Incheon Plant. Photo by Yonhap News Agency

To prioritize support for workers and companies in Dong-gu, which is classified as an employment crisis area, more than 90% of the total support quota of 5,250 recipients has been allocated to Dong-gu.

There are 11 steel companies in Dong-gu, Incheon, including Hyundai Steel and Dongkuk Steel Mill. However, the steel industry is facing challenges such as deteriorating trade conditions, oversupply from China, and pressure to transition to low-carbon processes, resulting in production contraction and declining employment, with major company plants either closing or operating at reduced capacity.

An official from Incheon Metropolitan Government stated, "Reflecting the Ministry of Employment and Labor's review, 89.5% of the budget has been allocated for direct support to workers," and added, "We will execute this promptly and transparently to ensure employment stability for steel industry workers and to serve as a pillar for the local economy."

This content was produced with the assistance of AI translation services.