Hyundai Construction Provides 170 Billion Won Support to Partners... Signs Voluntary Agreement for Mutual Growth

[Asia Economy Reporter Kim Hyemin] Hyundai Engineering & Construction will support a total of 170 billion KRW to partner small and medium-sized enterprises (SMEs) over the next three years, promoting win-win cooperation.

Hyundai Engineering & Construction and the Win-Win Growth Committee announced on the 9th that they signed an 'Autonomous Agreement to Resolve Polarization' with Hyundai Engineering & Construction's partner SMEs.

Through this business agreement, Hyundai Engineering & Construction will introduce a win-win cooperation model to resolve polarization tailored to the characteristics of the construction industry and support partner SMEs with a total of 170 billion KRW over three years for wages and welfare, wage payment capacity enhancement, and management stabilization financing.

Additionally, they agreed to adhere to three principles: adjusting subcontracting payments according to changes in supply costs, payment within 10 days after completion, and payment using cash or a win-win payment system. For partner SMEs, Hyundai Engineering & Construction will support wages for safety officers and conduct awards for excellent safety management partners, as well as participate in technology contests.

Partner SMEs are also required to comply with payment principles in transactions among themselves. Furthermore, they will strengthen efforts for research and development (R&D) and productivity improvement, and strive to improve quality, enhance price competitiveness, improve employee working conditions, and expand employment.

The Win-Win Growth Committee will actively support the establishment of venues for technology and purchasing consultations and plans to discover and promote their best practices.

A Hyundai Engineering & Construction official said, "As a partner growing together with our partners, we signed this agreement to contribute to resolving polarization between large and small-medium enterprises," adding, "We will continue to develop various partner support programs and take the lead in win-win growth by supporting partners to overcome difficult economic conditions."