Gov't set to help low-income, jobless people

(ATTN: UPDATES with more details, comments throughout)
SEOUL, March 12 (Yonhap) -- The government plans to spend 6.09 trillion won
(US$4.09 billion) to help low income earners and unemployed workers cope with the
current economic crisis, the finance ministry said Thursday.

The comprehensive emergency relief package calls for assistance to people who
have been laid off work and senior citizens and direct cash subsidies to buy
food, pay for education and medicare, the Ministry of Strategy and Finance said.
The money will come largely from an extra budget the government and the ruling
party are drawing up to boost the slumping economy.
The ministry in charge of the country's economic policies said the relief
measures will be implemented as soon as the extra budget bill is approved by the
National Assembly. It added that plans have been made to start distributing the
funds -- including 3.1 trillion won worth of coupons -- in late April.
"Emphasis has been placed on providing direct and immediate aid to those that
need it the most," said Vice Finance Minister Hur Kyung-wook.
Of the total, just over 5.2 trillion won will be used to directly aid those who
have been the most impacted by the weak economy, the ministry said.
According to the plan, the government will give out cash and coupons worth
830,000 won every month for six months to 860,000 people who have either been
laid off work or forced to close their shops and small businesses in recent
months. Half of the money will be in the form of coupons that can help spur
consumption.
A total of 1.1 million senior citizens and physically disabled people will be
given an average of 200,000 won each month for a six-month period.
The plan also raises the number of people who can receive state welfare support
from 1.75 million at present to 4.35 million, and makes it easier for fired
workers to receive critical unemployment insurance payments.
South Korea, which managed to pull off 2.5 percent growth in 2008, is expected to
post negative 2 percent growth this year as the worldwide slump continues to
batter consumption, exports, investment and employment conditions.
yonngong@yna.co.kr
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