[Exclusive] 400,000 Riders Also Subject to Serious Accident Punishment Act... Industry 'Bewildered'

Approval of Enforcement Decree Draft at Today's Cabinet Meeting
Emergency as No Protection Measures, Enforcement Set for January Next Year
Ambiguous Responsibility Could Only Produce More Offenders

From January next year, the Serious Accidents Punishment Act will also apply to nearly 400,000 delivery drivers (riders) in South Korea. The delivery industry is a sector where industrial accidents have been significantly increasing due to rising workloads, a shortage of personnel, and a speed competition. With protective measures for delivery motorcycles yet to be finalized and the enforcement date of the Serious Accidents Punishment Act just four months away, the industry is on high alert.

The delivery industry has recently realized, somewhat belatedly, that delivery companies are also subject to the law, causing considerable confusion. An industry insider said, "Earlier this month, a meeting was held with the Ministry of Employment and Labor, the National Police Agency, and others to discuss measures for preventing delivery motorcycle accidents and promoting safe driving. It was during this meeting that we learned the law applies to us."

The Serious Accidents Punishment Act contains provisions to punish business owners and management officials who violate safety and health obligations, resulting in casualties. In the event of a fatal accident, offenders face imprisonment of at least one year or a fine of up to 1 billion KRW, and in cases of injury or illness, imprisonment of up to seven years or a fine of up to 100 million KRW.

Notably, the law protects not only workers under the Labor Standards Act but also those providing labor through subcontracting, contracts, or consignment, directly impacting the delivery industry. The industry expressed concern, saying, "If the law is applied now, while we are still discussing rider safety and protection measures, it could only produce a large number of violators."

Delivery platforms, delivery agencies, and franchise restaurant owners?all related parties?cannot be exempt from the Serious Accidents Punishment Act. The biggest issue is the ambiguity over who should be held responsible when a serious accident occurs. Motorcycle accidents vary widely depending on the driver's carelessness, skill level, and traffic environment.

Nevertheless, on the morning of the 28th, the government reviewed and approved the enforcement ordinance for the Serious Accidents Punishment Act as scheduled at the Cabinet meeting. The business community expressed strong regret. They have repeatedly urged the government to clearly define the concept of management responsibility and the scope of obligations in the enforcement ordinance, which remain unclear under the Serious Accidents Punishment Act.