Lawmaker pushes bill to guarantee livelihoods of residents displaced by public housing projects

Lee Gwang-jae, a Democratic Party of Korea lawmaker representing Hanam-gap in Gyeonggi Province, said Monday he had introduced a bill to ensure that residents displaced by public housing development projects can maintain their livelihoods without leaving their communities. The legislation, formally an amendment to the Special Act on Public Housing, has been dubbed the "Public Housing Zone Residents' Livelihood Support Act."

The bill was drafted to protect the rights of residents who lose their economic footing during the development of public housing zones — including third-generation new towns such as the Hanam Gyosan district — and to prevent community conflicts before they arise.

Under current law, project operators may draw up resettlement support plans for residents displaced by public housing projects, but are not required to do so. Lee said this discretionary provision lacks binding force, and that the scope of support delegated to enforcement decrees has consistently fallen short of securing stable income and basic living conditions for affected residents.

A livelihood protection regime for displaced residents of public housing zones was first introduced through an amendment to the same law in 2022. Calls for further reform have continued from the field, however, driven by passive administration on the part of project operators such as the Korea Land and Housing Corporation and an opaque business licensing structure.

The amendment would make the preparation of resident support plans mandatory and spell out specific support items directly in the law. Key measures include vocational retraining and job placement assistance, employment referrals to construction firms participating in public housing projects, income-generation support, and housing and livelihood stability assistance.

The bill also establishes a legal basis for "resident livelihood cooperatives," allowing community members to form their own corporations or associations to pursue income-generating activities. The intent is to move beyond one-time government compensation and open a path for residents to build a sustainable income base.

"Even when a project serves the public good as a matter of national policy, it must not come at the cost of stripping away the livelihoods that residents have built over generations," Lee said. "We will put in place a substantive, state-backed system that allows original residents to maintain stable livelihoods without being forced to leave the communities they call home."