Starting on the 24th, the authorized head count for Korea Fair Trade Commission public officials will increase 17% (117 people), from 698 to 815, according to reports on the 4th. This follows President Lee Jae-myung's instruction at a Cabinet meeting in Feb. to add personnel, saying the Korea Fair Trade Commission (FTC) workforce is too small to conduct sufficient investigations. The Korea Fair Trade Commission (FTC) is said to be assigning a significant share of the additional personnel to investigations into unfair practices related to retail and subcontracting.
The Ministry of the Interior and Safety on this day preannounced legislation for a partial amendment to the Enforcement Rule of the Organization of the Korea Fair Trade Commission and Its Affiliated Agencies, which includes the staff increase for the Korea Fair Trade Commission (FTC). Even before the launch of the Lee Jae-myung administration, the Korea Fair Trade Commission (FTC) had been pursuing an increase in authorized staffing to strengthen its investigative capacity.
The Korea Fair Trade Commission (FTC) is said to have decided to create a new "franchise and retail review office" and assign part of the added personnel there. This office will investigate suspected violations of the Distribution Industry Development Act, the Fair Franchise Transactions Act, and the Agency Transactions Act by retailers, franchises, and corporations with dealerships. Recent conduct such as the case in which Coupang was fined a 2.1 billion won penalty surcharge over allegations it pressured suppliers to cut prices will be investigated and sanctioned by the franchise and retail review office.
With the creation of the franchise and retail review office, the number of Korea Fair Trade Commission (FTC) investigative bureaus will increase from four to five. Among investigative bureaus, the franchise and retail review office will be the third largest. It will have 47 officials under it, following the mergers and acquisitions review bureau (73) and the market surveillance bureau (60).
The Korea Fair Trade Commission (FTC) will also expand staffing in the department that investigates unfair practices in the subcontracting transaction process. Unfair subcontracting practices are investigated by the subcontract investigation division within the mergers and acquisitions review bureau. The division currently has nine people, and it will be increased to 20. The Korea Fair Trade Commission (FTC) is also said to be considering splitting the subcontract investigation division by sector into a manufacturing subcontract investigation division and a construction subcontract investigation division.
In addition, the Korea Fair Trade Commission (FTC) will bolster the personnel of the adjudication management bureau, which supports the nine members of the full commission, the equivalent of a trial court for fair trade cases. The full commission is composed of the chair, a vice chair, standing Commissioners, and nonstanding Commissioners. The final level of sanctions against corporations is decided at the full commission. The adjudication management bureau previously had five divisions under it, and it will add one new cartel adjudication officer. As a result, the bureau's personnel will increase by 15.