Kim Yoon-duk Minister of the Ministry of Land, Infrastructure and Transport (left) and Kim Young-hoon Minister of the Ministry of Employment and Labor (second from left) visit a youth housing construction site in Yongsan District, Seoul on the 18th and carry out a joint inspection of illegal subcontracting. /Courtesy of Ministry of Land, Infrastructure and Transport

On the 18th, Minister Kim Yoon-duk of the Ministry of Land, Infrastructure and Transport asked the construction industry to boldly break with the wrong practice of "illegal subcontracting" and continue self-policing efforts so that construction sites can regain vitality.

That morning, Minister Kim visited a new youth housing construction site in Yongsan-gu, Seoul, built by Hyosung Heavy Industries, with Minister Kim Young-hoon of the Ministry of Employment and Labor, conducted a joint inspection for illegal subcontracting, and said this.

The Ministry of Land, Infrastructure and Transport and the Ministry of Employment and Labor have been conducting a joint crackdown with local governments and public institutions since the 11th of last month to eradicate illegal subcontracting at construction sites, identified as a major cause of shoddy construction, safety accidents, and wage arrears.

The ministers of the two ministries focused on cracking down on illegal subcontracting while inspecting the progress of the project, including direct construction and subcontracting status by work type and worker recruitment channels. They also checked compliance with safety measures for hazardous processes and whether wages were paid in full and directly.

After completing the inspection for illegal subcontracting, Minister Kim said, "In line with the president's directive, we have, for the first time since last month, been conducting on-site crackdowns together with the labor ministry," and added, "For the Republic of Korea to become an advanced nation, it must pass through the gateway of 'safety.' Given that the role and responsibility of prime contractors are most important for this, please ensure that prime contractors manage the subcontracting structure responsibly and create a culture that puts safety first."

Minister Kim continued, "We know well that the government and the industry must work together so that safety systems can take firm root on sites," and emphasized, "The government will take the first step to improve sites with illegal subcontracting and will spare no support for the struggling construction industry."

Minister Kim Young-hoon noted, "Illegal subcontracting is a problem in itself, but it is also a practice at construction sites that must be eradicated in that, to cover the profit reductions at each subcontracting stage, expense cuts are forced, leading to wage arrears and industrial accidents."

He went on to say, "Because the construction industry is vulnerable to wage arrears, with multilayered subcontracting structures being widespread, we are making every effort to quickly remedy the rights of construction workers harmed by arrears—such as by operating a 'concentrated guidance period for clearing wage arrears'—so that unpaid wages at construction sites are cleared as much as possible before Chuseok," and asked, "At construction sites as well, may labor and management of both prime and subcontractors work with one mind to create good jobs so the construction industry can continue to develop."

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