An employee at a securities firm died after facing verbal abuse from a superior for failing to execute stock trades in time as the stock price plummeted more than 30% on the first day of the public offering. Recently, a first-instance court ruled that due to the employee's pre-existing health conditions, their health may have deteriorated due to work-related stress, leading to their death, and deemed it a work-related accident.
According to the legal community on the 16th, the Administrative 7th Division of the Seoul Administrative Court (Chief Judge Lee Joo-young) ruled in favor of the plaintiff in a lawsuit filed by the spouse of the deceased, Mr. A, against the Korea Workers' Compensation and Support Authority, seeking a reversal of the denial of survivor benefits and funeral expenses, in a ruling that took place last November.
Mr. A joined SK Securities in 2005. He worked in stock brokerage and financial product sales. After collapsing from a heart attack in 2013, he was diagnosed with "variant angina," where coronary arteries suddenly narrow, causing pain. Despite this, Mr. A continued to manage his health while working.
The incident occurred on May 11, 2021, when the battery material specialist company "SK I-Tek Technology" went public. The stock price of SK I-Tek Technology dropped more than 30% as soon as the market opened, and the stock ordering terminal malfunctioned. As a result, Mr. A was unable to place trades in time.
After this incident, when his superior, Mr. C, verbally abused Mr. A, he responded, "I am completely exhausted right now. The order terminal is malfunctioning, and everything is in chaos," before collapsing at his desk. Mr. A was transported to the hospital but died the next day from a myocardial infarction due to variant angina.
Mr. B, the spouse, claimed that Mr. A died from a work-related accident and filed a claim for survivor benefits with the Korea Workers' Compensation and Support Authority, but it was denied. The authority stated, "There is no causal relationship between Mr. A's death and work." In response, Mr. B filed an administrative lawsuit in 2022.
The court ruled that Mr. A's death was a work-related accident. The court noted, "The number of stock orders increased 10 to 20 times compared to usual due to several public offerings in the month leading up to Mr. A's death, and inquiries from clients also surged significantly."
Furthermore, it said, "Mr. A's health was generally well-managed, and the abrupt stressful situation from receiving insults and criticism from his superior could have triggered symptoms of variant angina, leading to acute myocardial infarction," and added, "the denial of benefits is not recognized and is illegal."