"Prime Contractors Must Fulfill Responsibilities Before Government Steps In"
Identifying Fake Unions... "Protecting the Truly Vulnerable"
Won Hee-ryong, Minister of Land, Infrastructure and Transport, urged prime contractors to actively work towards eradicating illegal and unfair practices at construction sites.
Won Hee-ryong, Minister of Land, Infrastructure and Transport, is giving a greeting speech at the "Construction Site Illegal and Unfair Practices Exposure Testimony Conference" held on the 8th at the Specialized Construction Hall in Dongjak-gu, Seoul. / Photo by Ministry of Land, Infrastructure and Transport
On the morning of the 8th, at the 'Testimony Conference on Illegal and Unfair Practices at Construction Sites' held at the Specialized Construction Hall in Dongjak-gu, Seoul, Minister Won criticized, "Prime contractors need to get their act together. They pass all the hardships onto subcontractors and yet talk about Environmental, Social, and Governance (ESG) management."
He continued, "While ESG for stock price increases and for enhancing the social prestige of owners must be done, before that, they need to consider the specialized construction workers and laborers who are directly responsible for productivity," adding, "I urge prime contractors to fulfill their responsibilities before the government steps in."
Minister Won also stated, "The government was not where it should have been. I apologize on behalf of government departments that urged honest workers to just get by when they were unfairly treated." This was a veiled criticism of the previous administration's labor policies.
He emphasized, "The police are not what they used to be, and neither are the Ministry of Employment and Labor, the Ministry of Justice, or the Fair Trade Commission," and added, "Going forward, government policies will move in a direction that fulfills their responsibilities."
He did not omit words of encouragement to specialized construction companies as well. Minister Won said, "Please eliminate the practices of paper companies and swarm bidding," and announced, "We will eradicate illegal and multi-tier subcontracting and expand the system of direct payment for construction fees."
Minister of Land, Infrastructure and Transport Won Hee-ryong is shouting slogans with participants at the "Construction Site Illegal and Unfair Practices Exposure Testimony Rally" held at the Specialized Construction Hall in Dongjak-gu, Seoul on the 8th. / Photo by Ministry of Land, Infrastructure and Transport
About 500 members of the Specialized Construction Association's executive board and member companies of the Reinforced Concrete Union attended the testimony conference. Large banners with slogans such as "Let's refuse monthly tower crane fees" and "Let's expel fake workers" were displayed in various places.
A representative of a reinforced concrete company who gave testimony on damages requested, "Please create an environment where clients and prime contractors can actively address illegal activities at construction sites." He explained that when the construction union forces the hiring of union members, they pressure the prime contractors to make subcontractors employ union members.
He testified, "Tower cranes are equipment paid for by the prime contractors, and additional costs should be resolved between the prime contractors and rental businesses, but subcontractors are being forced to pay monthly fees." There was also a representative of a local construction company who lamented that due to the construction union's lawful operation and work stoppage in response to the suspension of monthly tower crane fee payments, the workload has dropped to less than half of the previous level.
A representative of a reinforced concrete company attending as a representative of the Honam and Jeju regions revealed that the Gwangju High Court recently ruled that customary monthly fees have the character of wages and sided with tower crane operators in a lawsuit filed by a construction company claiming unjust enrichment. He added that they have appealed to the Supreme Court and requested, "Minister of Land, Infrastructure and Transport, please submit a third-party opinion to the Supreme Court so that an appropriate judgment can be made."
In response, Minister Won said, "There will be immediate difficulties due to the construction union's work stoppage, but if you endure a little longer, we will implement two shifts, direct employment by prime contractors, or revise safety regulations," and added, "If productivity improves, we will change construction sites to treat workers fairly." He also mentioned plans to identify fake unions and distinguish between unions that should be protected under the Labor Union Act and those that should be expelled.
Meanwhile, at the same time, the construction union held a press conference in front of the Specialized Construction Hall condemning Minister Won. The union stated, "Minister Won Hee-ryong thoroughly represents the interests of construction capital," and criticized, "He should show a balanced perspective instead of clinging to the old behavior of branding the construction union as criminals committing all illegal acts at construction sites."
They further criticized, "It is regrettable that Minister Won is increasingly trapped in his own stubbornness and prejudice," and raised their voices, "We hope he reflects on the reasons why day laborers and special employment construction workers endured numerous oppressions and hardships to form the construction union and fight to improve labor conditions."
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