Seongnam to Seek Reconsideration of Youth Basic Income Ordinance

"Support for Self-Reliance of Those Aged 19 to 39 Comes Before Blanket Payments to 24-Year-Olds" City to Concentrate Funds on Tailored Youth Programs in Jobs, Housing and Education

Society|
|
By Son Dae-sunsds1105@sedaily.com
||
Photo courtesy of Seongnam City - Seoul Economic Daily Society News from South Korea
Photo courtesy of Seongnam City

SEONGNAM — The city of Seongnam said on the 7th that it plans to request reconsideration of an ordinance on youth basic income payments passed at a plenary session of the 312th extraordinary session of the Seongnam City Council.

The ordinance calls for paying 1 million won a year in local currency vouchers to 24-year-olds living in Seongnam. If the city files the request, the ordinance will go back to the council for another vote.

To be finalized, the ordinance requires a majority of sitting council members to be present. It also needs approval from at least two-thirds of those attending. If it falls short of that threshold, the ordinance is scrapped.

The city said it agrees on the need to support young adults. But it said tailored support covering all young people aged 19 to 39 would be more effective than paying the same amount to a single age group.

The city believes the areas young people actually need help with are concentrated in jobs, housing, welfare and education. Its position is that a limited budget should go toward policies that broaden the foundation for self-reliance rather than short-term consumption support.

The city cited a 2021 analysis of the policy effects of Gyeonggi Province's youth basic income. According to that analysis, 73.1% of the money spent under the program went to groceries. Spending on self-development, by contrast, accounted for just 11.2%.

Based on those findings, the city concluded that basic income has limits in strengthening young people's capabilities or supporting long-term self-reliance. It also said a 2024 provincial public opinion survey by the Gyeonggi Research Institute showed a high share of respondents in favor of expanding tailored support.

The city has expanded tailored youth programs since scrapping youth basic income in 2023. Flagship programs include All Pass, a support program for young people who are not employed, startup support for young entrepreneurs, help with jeonse (a lump-sum deposit lease), monthly rent and moving costs for newly employed young adults, a youth hope internship program and settlement funds for youth-run businesses.

The city has allocated about 11.89 billion won for 2026 to direct support programs aimed at strengthening young people's capabilities. It said that figure is more than two to three times the amount set aside by neighboring cities such as Suwon and Yongin.

The All Pass program in particular has drawn high satisfaction, the city said. In a 2026 survey, participant satisfaction stood at 90.4%, easing of financial burden at 91.1% and improved trust in youth policy at 88.4%.

A growing fiscal burden was also cited as a reason for the reconsideration request. Through 2026, funding for youth basic income has been split with Gyeonggi Province covering 70% and the city 30%. From 2027, however, the split is set to change to 30% for the province and 70% for the city.

Under that formula, the city estimates its annual burden would reach about 6 billion won in 2027 if youth basic income were implemented. The city says that money would be better spent on practical support for self-reliance, such as employment, startups and housing stability.

"Fairness in youth policy cannot be judged solely by whether the same amount is paid to a particular age group," Seongnam Mayor Shin Sang-jin said. "What matters is what opportunities and support all young people receive."

"Rather than uniform payments, we will concentrate limited resources on areas where demand from young people is greatest, such as jobs, housing, welfare and education," he added. "We will broaden the foundation that allows young people to grow and stand on their own."

Original reporting by Son Dae-sun for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

Watch · Seoul Economic Daily

More →
3:17

AI KEY

Preview
Korean Corporate Intelligence HubKOSPI · KOSDAQ · 12 sectors

A live, cap-weighted view of every KOSPI and KOSDAQ sector, with same-day Korean reporting distilled by company — built for foreign investors, correspondents and analysts who need to scan Korea before the next session.

Korea Company Atlas

Preview
Market Ontology · The Feedback LoopKFTC 2025 · 92 groups · 121,954 articles

An English ontology of the Korean market — how companies, the media, the government and the National Assembly move each other in a loop. Korea's named controlling persons and designated business groups are a mechanism, not a risk to be priced blind.

SIGNAL

Now live
English Edition · Capital MarketsM&A · IPO · PE · Fund Flows

SIGNAL English Edition is live — Korea's deal desk reporting in English. M&A, IPOs, private equity and fund flows, covered daily for global institutional investors. Browse free; subscriber-only scoops at the 50% intro rate.