VZCZCXYZ0012
RR RUEHWEB

DE RUEHUL #1090/01 0930917
ZNR UUUUU ZZH
R 030917Z APR 06
FM AMEMBASSY SEOUL
TO RUEHC/SECSTATE WASHDC 7102
INFO RHMFISS/COMUSKOREA J2 SEOUL KOR
RHMFIUU/COMUSKOREA SCJS SEOUL KOR
RHEHNSC/NSC WASHINGTON DC

UNCLAS SEOUL 001090 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV KS
SUBJECT: POLITICAL POSTURING TO DOMINATE ASSEMBLY APRIL 
SESSION 
 
¶1.  (SBU) SUMMARY:  The National Assembly on April 3 began a 
thirty-day session that will likely be dominated by political 
posturing prior to the May 31 nationwide local elections. 
Issues on the agenda include the confirmation of Rep. Han 
Myeong-sook as the first female Prime Minister, scandals 
involving improper lobbying, and a series of reform bills 
covering labor, defense and education. END SUMMARY. 
 
CONFIRMATION BATTLE OVER ROK'S FIRST FEMALE PM 
--------------------------------------------- - 
 
¶2.  (SBU) One of the biggest items on the agenda is the 
confirmation hearing of Uri Party Rep. Han Myeong-sook as 
Prime Minister.  Han has a long history of women's rights 
activism.  Former President Kim Dae-jung appointed her in 
2001 to be the first Minister of Gender Equality, and 
President Roh later appointed her to be Minister of the 
Environment.  Han resigned in 2004 to launch a successful 
candidacy for a National Assembly seat.  Insisting on a 
politically-neutral Prime Minister, the opposition Grand 
National Party (GNP) has objected to Han's close political 
affiliation with the Uri Party and has demanded that she 
renounce her party ties.  The GNP, however, is unlikely to 
press the attack on Han too aggressively because of ongoing 
embarrassment over GNP Rep. Choi Yeon-hee, who has refused to 
step down following a February incident where he grabbed a 
female reporter's breasts during a drinking session.  Facing 
allegations that it tolerates sexual harassment, the GNP does 
not want to be seen fighting the appointment of Korea's first 
female Prime Minister.  The confirmation hearing will be 
before a committee of six Uri Party representatives, six GNP 
representatives, and one other representative, and the 
confirmation will have to be approved by a majority of the 
Assembly. 
 
PARTIES TRADE SCANDAL ACCUSATIONS 
--------------------------------- 
 
¶3.  (SBU) Given GNP's vulnerabilities on challenging Han, 
most of the political posturing will involve two scandals 
which seem to be gaining momentum as the May 31 local 
elections approach.  Prosecutors in March raided Hyundai 
Motor Co. and its subsidiaries in search of evidence that 
prominent financier and lobbyist Kim Jae-rok improperly 
received and used funds to lobby the government and financial 
authorities.  Various politicians are eager to take advantage 
of what the investigation may uncover.  Several of the 
suspect incidents, including the sudden issuance of a 
construction permit to Hyundai Motors in a part of Seoul 
previously off-limits to that type of construction, occurred 
under the administration of Mayor Lee Myung-bak, a leading 
GNP contender for the presidency.  In addition, lobbyist Kim 
reportedly has close ties with a number of ranking Uri Party 
figures. 
 
¶4.  (SBU) The Uri Party is likely to try to turn  an 
investigation regarding likely presidential candidate and 
Seoul Mayor Lee Myeong-bak's allegedly improper use of a 
public tennis court.  Investigators are pursuing allegations 
that since 2003, the Seoul Tennis Council had booked a public 
tennis court for Lee's exclusive use in exchange for 
management rights over a southern Seoul tennis court 
scheduled to open this year.  The Korean Athletic Promotion 
Association (KAPA), which runs the facility, claims that 
these bookings resulted in about USD 37,000 in unpaid rental 
charges.  The Uri Party has formed a unit to investigate the 
matter, the Democratic Labor Party has released a statement 
criticizing the mayor, and the People's Solidarity for 
Participatory Democracy, an NGO, has requested the Korea 
Independent Commission Against Corruption to investigate. 
Lee's tennis problems are undoubtedly a reaction to former 
Prime Minister Lee Hae-chan's resignation over an improper 
golf outing in March.. 
 
BRAWL LIKELY OVER LABOR REFORM 
------------------------------ 
 
¶5.  (SBU) Labor reform is likely to arise as a contentious 
issue as well.  The National Assembly Environment and Labor 
Committee on February 28 approved long-pending labor reform 
legislation regarding temporary, part-time, contract, and 
other "irregular" workers.  The legislation would prohibit 
discrimination against irregular workers and grant them 
regular worker benefits -- including termination protections 
-- after two consecutive years of employment.  Hoping to win 
labor's support, the Committee revised the government's 
proposal, which provided for a three-year term of irregular 
employment.  Nevertheless, the Committee's approval of the 
bill triggered large protests from organized labor and 
contributed to a strike in the transportation sector over the 
 
weekend.  Employers, likewise, strongly opposed the 
legislation as a setback to the goal of labor market 
flexibility.  In light of this opposition from both labor and 
management, the National Assembly postponed further 
consideration of the reform legislation until this session. 
We understand that members of the Democratic Labor Party have 
already occupied the Judiciary Committee meeting room in the 
National Assembly in order physically to block further 
discussion of this bill.  After all the pushing and shoving 
is done, we expect that lawmakers may delay a final vote even 
further. 
 
 
DEFENSE AND EDUCATION REFORM MEASURES ALSO PENDING 
--------------------------------------------- ----- 
 
¶6.  (SBU) The Ministry of National Defense's defense reform 
bill is aimed at (1) civilianization of the Defense Ministry 
and other defense agencies; (2) force restructuring and 
modernization; (3) streamlining the defense management 
system, including creation of a low-cost, high efficiency 
defense procurement agency; and (4) improving the quality of 
life for soldiers.  The bill was first introduced last fall 
and is likely to generate continued controversy.  Some 
legislators have criticized the plan for insufficient 
funding, poor planning, and possible vulnerability against 
the DPRK. 
 
¶7.  (SBU)  The Private School Reform Law, which prompted a 
fifty-three day GNP boycott of the last National Assembly 
session, is expected to generate controversy again as 
lawmakers negotiate revision of the law.  Simply put, the GNP 
opposes government oversight of private schools, in 
particular the open board of directors system which lets the 
school community nominate one-fourth of board membership. 
 
 
 
 
YUN