Dongbu Construction, Early Payment of 55 Billion KRW to Partners

Ahead of Lunar New Year, payments advanced up to 14 days to over 180 partners
Supporting partner liquidity amid construction industry downturn

Amid growing concerns about wage arrears in the construction industry, Dongbu Construction has taken steps to provide early liquidity support to its subcontractors. On the 22nd, Dongbu Construction announced that it will pay a total of 55 billion KRW in construction payments to about 180 site subcontractors up to 14 days earlier than the scheduled payment date ahead of the Lunar New Year holiday.

This early payment was implemented to alleviate the liquidity burden on small and medium-sized subcontractors struggling with high interest rates and inflation, while also ensuring that all site workers can spend the Lunar New Year holiday without worrying about wage arrears. It is expected to help improve subcontractors' liquidity for holiday bonuses, salaries, raw material payments, and more. Dongbu Construction usually pays subcontractors in full cash for outsourcing, material costs, and labor costs to support their liquidity.

A Dongbu Construction official stated, "In a situation where negative factors have emerged in the construction industry due to PF, this early payment to subcontractors demonstrates Dongbu Construction's stable financial soundness management," adding, "Dongbu Construction has secured about 300 billion KRW in liquidity through construction payments from overseas sites and collections from completed projects."