Another Fatal Accident at SPC Samlip Plant Raises Candidate Eligibility Controversy
Election Process for Association President to Begin After Articles of Association Are Amended
Jonghyun Hwang, CEO of SPC Samlip, Must Focus on Managing the Aftermath of the Accident
The Korea Food Industry Association is facing an unexpected variable ahead of the upcoming election for its next president. Jonghyun Hwang, CEO of SPC Samlip, who had been considered a leading candidate for the presidency, is now under pressure from civic groups and others to voluntarily withdraw his candidacy following a recent fatal accident involving a worker at the company's Siheung bakery plant. The association had originally planned to begin the official election process for the president after completing amendments to its articles of association. However, with controversy arising over candidate eligibility, the association's schedule is now expected to be disrupted.
According to the food industry on May 21, the Korea Food Industry Association held a board meeting on May 12 and began the process of amending its articles of association regarding the method for electing the president. The proposed amendment prepared by the association stipulates that "the president shall be elected from among those recommended by the board of directors, and the election procedures shall be determined by separate regulations." The association plans to amend the articles of association through a board resolution and an extraordinary general meeting, and then, after obtaining approval from the Ministry of Food and Drug Safety in early June, begin the process of electing the president. The new president will be finalized at an extraordinary general meeting at the end of June.
This presidential election marks the first time since the association's founding in 1969 that multiple candidates are competing for the position. Until now, there had been no applicants, so the president was effectively chosen by acclamation. However, this time, both Jinsun Park, CEO of Sempio Foods, and Jonghyun Hwang, CEO of SPC Samlip, have declared their intention to run, creating a contested election. As a result, the association was unable to elect a president at the regular general meeting held on February 28 and postponed the procedure.
If the articles of association are amended, the industry had expected that Hwang, who is likely to be recommended by the board, would have an advantage. Hwang has worked in the food industry for over 30 years and is recognized for his expertise in sales and marketing. He has been evaluated as a suitable representative of the industry from the perspective of large corporations.
However, the situation changed dramatically after a fatal accident occurred on May 19 at the SPC Samlip Siheung plant led by Hwang, in which a female worker in her 50s was killed after being caught in a conveyor belt. The police are currently investigating the cause of the accident, and the Ministry of Employment and Labor is also examining whether there were violations of the Occupational Safety and Health Act and the Serious Accidents Punishment Act. There are even signs of a boycott of SPC affiliates among consumers. As a co-CEO of SPC Samlip, Hwang is now in a position where he must focus on handling the aftermath of the accident. Although Bumsoo Kim, CEO of SPC Samlip, has issued an official apology, there is growing sentiment that Hwang cannot avoid responsibility.
Previously, SPC Group was embroiled in controversy in 2022 when a fatal accident occurred at the SPL bakery plant. Dongseok Kang, CEO of SPL, was sentenced in January to one year in prison, suspended for two years, for violating the Serious Accidents Punishment Act.
The presidency of the association is an unpaid, part-time position, but it plays a key role in representing the food industry and coordinating policies and opinions with the government. For this reason, if the controversy over social responsibility continues to grow, there are concerns that internal opinions within the association may become divided.
Civic groups have also intensified their opposition following the fatal accident. The Korea Consumer Organization Association stated, "The president of the association represents the food industry and should be a person with high moral standards and a strong sense of social responsibility," and urged, "The CEO of SPC Samlip should voluntarily withdraw, and the association should immediately disqualify him as a candidate."
An industry official said, "The amendment of the articles of association and preparations for the presidential election are proceeding as planned," adding, "We are monitoring the situation."
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