[2025 Audit] "Another Accident Could Shut Down the Company"... Construction CEOs Bow Heads at Parliamentary Hearing

Attendance of Witnesses Related to Industrial Accident Fatalities
Renewed Commitment to Eradicating Industrial Accidents

As the Lee Jaemyung administration announced plans to impose fines of up to 5% of operating profit and even revoke business registrations for companies that repeatedly cause industrial accidents, the heads of major construction firms bowed their heads one after another at the National Assembly's government audit on the 13th. The executives pledged to conduct comprehensive inspections and strengthen safety management, emphasizing that "there is no business without safety."

"A Sense of Urgency That Another Major Accident Could End Our Business"

On the 13th, at the National Assembly Land, Infrastructure and Transport Committee's 2025 government audit of the Ministry of Land, Infrastructure and Transport, Song Chi-young, President of POSCO E&C (front), and Kim Bo-hyun, CEO of Daewoo Construction, who appeared as witnesses regarding the increase in construction accidents, are responding to lawmakers' questions. Photo by Yonhap News Agency

Song Chi-young, CEO of POSCO E&C, who appeared as a witness at the National Assembly's Land, Infrastructure and Transport Committee audit that day, said, "I am deeply sorry for causing a major industrial accident and feel a strong sense of responsibility as the CEO." Song took office on August 5, following the resignation of former CEO Jeong Heemin, who stepped down after taking responsibility for a major accident.

He stated, "After my appointment, I felt a desperate sense that if another major accident were to occur, we could end up having to shut down our business. With this in mind, I halted all sites." He added, "After receiving a third-party safety diagnosis and ensuring safety, we resumed construction after about a month." Song further acknowledged, "It is true that this has resulted in significant management losses," but emphasized, "I will do my utmost to recover the losses through early normalization of management."

Song also said, "It is true that our employees are anxious about the company's future due to these major accidents," and added, "Since my appointment, I have been continuously building consensus with employees that the company can move forward properly through safety management."

Previously, in July, President Lee strongly criticized the series of industrial accidents resulting in worker deaths at POSCO E&C construction sites during a Cabinet meeting, describing it as "murder by willful negligence." Subsequently, the Ministry of Employment and Labor announced a "Comprehensive Labor Safety Plan," which includes imposing fines of up to 5% of operating profit and pursuing business registration revocation for companies with repeated industrial accidents.

"No Business Without Safety Guarantees"

Kim Bohyun, CEO of Daewoo Construction, responded to a question from Jeong Jeomsik, a lawmaker from the People Power Party, who pointed out that "the number of accidents has not decreased since the Serious Accidents Punishment Act was enforced, which may be due to companies neglecting their safety obligations." Kim said, "I have no intention of avoiding responsibility," and acknowledged, "It is certainly possible to view that we have been negligent in fulfilling our safety responsibilities."

In response to the question, "Has there not been damage due to construction being halted after an accident?" Kim replied, "As CEO, I have not assessed the specific amount," but stressed, "Because there is a sense of crisis that no business can proceed without safety guarantees, I am determined to prioritize safety above all else."

He added, "Every day feels like walking on thin ice, both at the sites and at headquarters," and continued, "When discussing responsibility for major accidents, I hope there will be a more thorough examination of whether construction companies, as well as employers or managers, have truly fulfilled all their responsibilities."

On the 13th, representatives from the construction industry who appeared as witnesses regarding the increase in construction accidents attended the 2025 National Audit of the Ministry of Land, Infrastructure and Transport held at the National Assembly Land, Infrastructure and Transport Committee. Photo by Yonhap News

"Safety and Quality Are the Fundamental Values for Survival"

Jo Taeje, Chief Safety Officer (CSO) of HDC Hyundai Development Company, which experienced two collapse accidents in Gwangju, said, "We are well aware of how much these accidents threaten our management," and pledged, "We will continue to take measures to prevent accidents or disasters from occurring, even due to minor mistakes or carelessness by workers."

Joo Woojeong, CEO of Hyundai Engineering, which faced difficulties due to the Sejong-Anseong Expressway bridge collapse, also stated, "I have maintained a deep and heavy sense of responsibility both before and after the accident," and added, "I recognize that safety and quality are the most fundamental means, purposes, and highest values for survival, and I will strive to further establish a culture of safety and quality at a higher level."

Maeng Sungkyu, Chair of the Land, Infrastructure and Transport Committee, said, "Industrial accidents at construction sites account for nearly half of all industrial accidents in Korea, making it the sector most in need of improvement," and added, "The President is also emphasizing the reduction of fatal industrial accidents on a daily basis." He continued, "Today, those appearing as witnesses at the audit are individuals whose companies have seen 15 or more deaths from major industrial or civil accidents since 2020, or who have been criminally prosecuted as a result," and stressed, "This audit must serve as an opportunity to reestablish a culture of safety within the construction industry."