Special Inspection Reveals... Widespread Wage Arrears, Harassment, and Repeated Assaults

Ministry of Employment's Special Inspection Results on Jeil Pharmaceutical and Jinan-gun Disabled Welfare Center

[Sejong=Asia Economy Reporter Moon Chaeseok] The government’s special investigation into workplaces that caused social controversies due to assault and workplace harassment revealed widespread issues of wage arrears, workplace bullying, and habitual assault.

The Ministry of Employment and Labor recently announced the results of special inspections on emergency patient transport company Shinsegye911, KOSPI-listed company Jeil Pharm, and the Jinan-gun Welfare Center for the Disabled.

In January, the Ministry stated in this year’s comprehensive labor inspection plan that it would conduct special inspections on workplaces that caused social controversies due to assault, habitual verbal abuse, workplace harassment, sexual harassment, and other issues against workers.

Shinsegye911 was caught violating labor laws 11 times, including habitual assault of workers and wage arrears. The business owner Kim of this company is currently detained on charges of assaulting a worker and leaving them unattended, resulting in death.

Kim habitually assaulted other workers besides the deceased victim. The company paid workers wages below the minimum wage and failed to properly pay statutory allowances such as overtime, night, and holiday work allowances. Over the past three years, it withheld over 320 million KRW in wages from 37 current and former workers. Employment contracts were also not issued.

Jeil Pharm and the Jinan-gun Welfare Center for the Disabled committed irregularities such as sexual harassment and wage arrears. Jeil Pharm had 15 violations of related laws, while the Jinan-gun Welfare Center had 5.

The investigation revealed that 1 in 10 Jeil Pharm employees admitted to experiencing workplace sexual harassment, and more than half, 53.9%, reported being bullied. The company also withheld wages totaling over 1.5 billion KRW from 341 current and former employees over the past three years.

At the Jinan-gun Welfare Center for the Disabled, during the same period, 27 current and former employees were not paid approximately 16 million KRW in annual leave and weekly holiday allowances.

The Ministry of Employment and Labor decided to conduct special inspections without exception if serious legal violations occur repeatedly. Furthermore, all local offices will be informed of these cases, and a 'Forced Investigation Support Team' will be activated. The support team has been newly established in eight local labor offices and is responsible for arresting, detaining, and conducting searches and seizures of business owners who maliciously violate the law.

Kwon Kisub, Director of Labor Policy at the Ministry of Employment and Labor, said, "We will strengthen special inspections and operate the Forced Investigation Support Team in the field of handling reported cases."