Expansion of Judicial Police Authority and Direct Payment System for Construction Costs by Ministry of Land, Infrastructure and Transport... "Normalization of Construction Sites"

Meeting Among Primary Contractors to Eradicate Illegal Activities at Construction Sites
Safety Rules Revised... Monthly Tower Crane Fees Illegally Specified

[Asia Economy Reporter Noh Kyung-jo] The government has decided to grant judicial police authority to regional land offices under the Ministry of Land, Infrastructure and Transport to normalize construction sites. The direct payment system for construction fees, currently implemented by some local governments, will be promoted nationwide, and safety regulations will be adjusted to fit the conditions of each site.

On the afternoon of the 19th, Minister of Land, Infrastructure and Transport Won Hee-ryong announced this plan at the 'Meeting of CEOs of Prime Contractors to Eradicate Illegal Activities at Construction Sites' held at the reconstruction site of Cheongdam Samik Apartments in Gangnam-gu, Seoul.

Won Hee-ryong, Minister of Land, Infrastructure and Transport, is speaking at the "Meeting of CEOs of Primary Contractors to Eradicate Illegal Activities at Construction Sites" held on the 19th at the reconstruction site of Cheongdam Samik Apartment in Gangnam-gu, Seoul. / Photo by Ministry of Land, Infrastructure and Transport

Minister Won explained the rationale for introducing judicial police authority, saying, "Labor inspectors under the Ministry of Employment and Labor can exercise supervisory authority over general labor issues, but it is difficult for them to understand problems arising from the unique characteristics of construction sites, and they lack the network to mediate these issues." The plan is scheduled to be submitted as an agenda item at the Cabinet meeting, and since there are no disagreements among ministries, Minister Won expects it to be approved smoothly.

Regarding the expansion of the direct payment system for construction fees, he said, "Local governments and Korea Railroad Corporation are already implementing it," and added, "We plan to supervise to ensure its full expansion."

Safety regulations that do not function properly on site will be revised. This decision is based on the judgment that the Construction Workers' Union is abusing these regulations as a means to pressure construction companies. Minister Won emphasized, "The union uses safety regulations that do not work, such as the rule that 'no person should be within a 50-meter radius of a tower crane,' as an excuse for lawful strikes, paralyzing the site," and added, "We will organize outdated labor inspection practices and safety regulations that provide room for lawful strikes by the union."

The monthly allowance for tower crane operators will be regulated and explicitly declared illegal. Minister Won stated, "If there is a shortage of tower crane operators or if an operator works exceptionally well and needs to be paid more as a bonus, this should be incorporated into a formal wage contract," and added, "We will create guidelines to illegalize the monthly allowance and, if necessary, revise enforcement ordinances to supplement the regulations."

Regarding union accounting issues, he pointed out, "We have made the accounting of political parties, companies, and political funds fully transparent, so why should only my accounting be exempt from scrutiny?" and emphasized, "All fund accounting that manages others' money publicly must be transparently disclosed."

At the meeting, Minister Won stressed the importance of prime contractors in establishing the rule of law at construction sites and urged them to take an active role. The meeting was attended by CEOs from 11 major construction companies, including Ji Hyung-geun, Vice President of Samsung C&T Construction Division, and Yoon Young-joon, CEO of Hyundai Construction.

Minister Won requested, "Forcing subcontractors who suffer from illegal acts to comply with construction schedules is no different from silently instructing them to accept unfair demands from the Construction Workers' Union," and added, "I ask the CEOs here to directly oversee so that site workers do not engage in such acts."

He continued, "Without the will of the prime contractors, eradicating illegal activities at construction sites is impossible," and proposed, "Let the government and prime contractors work together to correct illegal behaviors related to subcontracting and payment and the selfish practices that tolerate them."

The construction company CEOs requested the government to consider policy support measures in case construction schedules are delayed due to illegal activities by the Construction Workers' Union.

Vice President Ji said, "Each site devotes great effort to manage schedules, but if the union's illegal activities continue, the schedule is delayed, costs increase, and the process is affected," and added, "If union demands are not accepted, second and third protests follow, and their intensity increases."

CEO Yoon stated, "The union often abuses the system by threatening to report violations of the Safety and Environmental Management Act intentionally," and requested, "Please establish regulations that allow penalties to be deferred or reduced if construction companies present evidence."