June 26 (Reuters) - South Korea's parliament began a new session on Friday with the ruling Grand National Party planning legislation on a platform of reforms aimed at helping Asia's fourth-largest economy weather the global downturn.
The following is a list of some of the major reform bills proposed by President Lee Myung-bak, who took office 16 months ago with the promise to bring sweeping changes to the economy, and his centre-right GNP:
* Revise a law on the period for which companies can employ temporary workers from the current two years to four years.
* Lower corporate income tax rates by 5 percentage points over five years. This is a government priority.
* Sell part of state-run Korea Development Bank to private investors.
* Bail out 7 million delinquent small debtors. Regulators are still working out details.
* Ease the investment ceiling for listed start-ups to help them overcome funding difficulties.
* Reduce housing costs for low income workers who do not own their own homes.
* Give employers more flexibility to hire and fire workers.
* Overhaul the national pensions system so it can cope with an ageing society.
* Stabilise financing for the National Health Service.
* Revamp regulations on agriculture, fisheries and fishing to make the sectors more profitable.
CONTENTIOUS BILLS LIKELY TO FACE DELAYS:
* Revising media ownership laws making it easier for private firms to own TV networks. The GNP says the move will modernise the broadcast industry. The opposition says it will increase the power of media conglomerates.
* Free trade deal with the United States, which also faces a rough ride in the U.S. Congress. South Korean business leaders say the deal will give the country a leg up over Asian rivals in the key U.S. export market, while opposition MPs say it will hurt farmers. Bill has passed committee and seems likely to complete its passage through parliament eventually.
* A 4 percent limit on non-financial companies' ownership in financial holding companies to be replaced with a more flexible system, allowing for up to 10 percent ownership. The opposition argues it will increase the control over the economy by major conglomerates.
REFORMS RECENTLY APPROVED
* Revisions of the Capital Markets Integration Act that tightened regulations on investments in derivatives.
* Abolishing limits on big-company investment in subsidiaries within the same group. (Reporting by Jon Herskovitz and Kim Yeon-hee; Editing by David Fox)