Child care subsidy to be introduced

A child care subsidy and an increase in senior pension is in the works as the government rolls out measures to improve welfare measures.

The new administration’s de facto transition committee revealed Friday that a child care subsidy is being planned, but that details including the timing of its introduction have yet to be decided. 

“(The subsidy) is a pledge of the president, and discussions about how to execute it is under way,” committee spokesman Park Gwang-on said. During his election campaign, Moon had pledged to introduce a 100,000 won ($88) monthly child care subsidy for children up to the age of 5.

“It is not a complicated matter, but there are parts that must be considered in connection with other matters.”

Park added that the plans for the subsidy were approved to aide low-income parents and help raise household income.

The committee also approved plans to raise the senior pension provided to those aged 65 and above to 250,000 won per month. The revisions in the related regulations will be submitted to the National Assembly in October. The pension is provided to seniors who fall in the bottom 70 percent in terms of income. The current pension is linked to the National Pension and monthly pension ranges between 100,000 won and 200,000 won.

According to the new administration’s plans, all eligible seniors will receive 250,000 won per month, which will then be raised to 300,000 won from 2021.

By Choi He-suk (cheecheesuk@heraldcorp.com">suk@heraldcorp.com)