Ministry of Employment Investigates Hwacheon Daeyu Site Regarding Industrial Accident Data of Gwak Sang-do's Son

Independent Assemblyman Gwak Sang-do. (Photo by Yonhap News)

[Sejong=Asia Economy Reporter Moon Chaeseok] The Ministry of Employment and Labor will begin an on-site investigation of Hwacheon Daeyu Asset Management (Hwacheon Daeyu) on the 18th in connection with the 5 billion won severance pay received by the son of independent lawmaker Kwak Sang-do from Hwacheon Daeyu.

According to the Ministry of Employment and Labor, officials from the Seongnam branch of the ministry will visit Hwacheon Daeyu in Pangyo-dong, Bundang-gu, Seongnam City, in the afternoon to investigate the facts regarding the claim that the 5 billion won severance pay received by lawmaker Kwak’s son was compensation for an industrial accident and whether an actual industrial accident occurred. A ministry official explained, "We sent an official letter requesting industrial accident-related materials concerning lawmaker Kwak’s son to Hwacheon Daeyu, but we did not receive them by the submission deadline of the 15th."

Earlier, Kim Man-bae, the major shareholder of Hwacheon Daeyu, stated on the 27th of last month that the severance pay to lawmaker Kwak’s son was due to an industrial accident. This is the claim that the large severance pay was compensation for an industrial accident. However, it has been confirmed that Hwacheon Daeyu has never reported any industrial accidents to local employment and labor offices since its establishment in 2015, raising concerns.

According to the Industrial Safety and Health Act and related regulations, employers must not conceal the occurrence of industrial accidents. If an industrial accident requiring more than three days of leave occurs, it must be reported to the relevant local employment and labor office within one month. Therefore, if lawmaker Kwak’s son indeed suffered an industrial accident as claimed by Kim, Hwacheon Daeyu’s failure to report the industrial accident could be illegal. A ministry official said, "Both Hwacheon Daeyu and lawmaker Kwak’s son claim it was an industrial accident, so we will secure the materials and make a comprehensive judgment."

According to the Ministry of Employment and Labor, there is no specific legal time limit for the investigation. However, if the investigation confirms the occurrence of an industrial accident, it must be determined whether the failure to report was a simple mistake or intentional concealment. If it was a simple mistake, it may end with a fine, but if intentional concealment is revealed, a re-investigation will be conducted, and if a violation of the Industrial Safety and Health Act is confirmed, judicial action will be taken.