"Construction Job Conditions to Improve"... Government Focuses on Fair Wages and Safety Management

Ministry of Employment Announces the "4th Basic Plan for Improving Employment of Construction Workers"

Key Contents of the Three Major Innovation Tasks for Improving Employment of Construction Workers

[Asia Economy Reporter Kim Bo-kyung] The government announced that it will focus on promoting three major innovation tasks?appropriate wage system, skilled worker grading system, and electronic card system?to improve the employment conditions of construction workers.

The Ministry of Employment and Labor announced on the 11th the "4th Basic Plan for Improving Employment of Construction Workers (2020-2024)" aimed at stabilizing employment and enhancing welfare for construction workers.

First, the government will institutionalize the appropriate wage system to ensure that construction workers’ wages are not reduced during multi-tier subcontracting processes and that wages paid by job type meet or exceed the market wage standards.

They plan to evaluate the pilot projects of the appropriate wage system currently implemented by public institutions and local governments, prepare institutionalization measures within this year, and gradually mandate it starting with public construction projects through legislative promotion.

Additionally, the electronic card system and skilled worker grading system will be introduced on-site. From November, workers on large construction projects will be required to use electronic cards when entering construction sites to prevent omissions in reporting retirement fund contributions for construction workers.

The skilled worker grading system, which systematically classifies workers by skill level based on career, qualifications, education, and training, will be introduced on-site starting May 2021.

By linking the skilled worker grading system with an appropriate wage payment system by skill grade, the government plans to improve treatment for excellent skilled workers and activate the entry of domestic construction skilled workers.

An official from the Ministry of Employment and Labor stated, "Once the three major innovation tasks are established on-site, the influx of domestic workers into construction sites will increase, and illegal employment of foreign workers will decrease."

Furthermore, the government will nurture domestic skilled workers and systematically manage foreign workers at construction sites.

The "Construction Meister Training Project" targeting construction specialized high schools will be expanded to 50 schools by 2024, and construction skill training will be provided to soldiers scheduled for discharge, supporting career paths for young construction workers.

A directly operated comprehensive training center by the Construction Workers’ Mutual Aid Association will be newly established to stably cultivate skilled workers by opening training courses for undesirable occupations and advanced-level vocational training that are difficult to supply in the private sector.

Through joint government crackdowns, illegal foreign workers will be strictly monitored, and improvement measures for the employment permit system will be prepared to allocate foreign workers proportionally to domestic employment.

In addition, illegal subcontracting information will be shared with local governments, the wage guarantee system will be improved, and guidance and supervision will be provided to ensure the preparation of standard labor contracts specifying statutory allowances such as weekly holiday pay.

The appointment of safety managers will be gradually expanded to construction sites with project amounts of 5 billion KRW or more, and focused supervision will be conducted to prevent fall accidents to reduce fatalities in the construction industry.

A "Customized Construction Industry Health Check Registration System" will be introduced, whereby health examination institutions submit health check results to the registration agency, and the agency provides information to employers upon workers’ request.

Mandatory convenience facilities at construction sites will be expanded to include shower rooms, rest areas, and infirmaries, with detailed standards reflecting gender characteristics and other factors.

To strengthen the social safety net function of the construction workers’ retirement mutual aid system, the scope of projects subject to retirement mutual aid subscription will be expanded from May 2020 to include public projects with amounts of 100 million KRW or more and private projects with amounts of 5 billion KRW or more.

Even if the number of months of mutual aid contributions is less than 12, retirement mutual aid payments will be allowed if the construction worker dies or reaches the age of 65, relaxing the eligibility requirements.

The Construction Workers’ Mutual Aid Association plans to expand the beneficiaries of welfare projects such as comprehensive health checkups, group insurance enrollment, and scholarship support from the current level of about 10,000 to approximately 40,000 by 2024.

Minister of Employment and Labor Lee Jae-gap stated, "We will do our best to ensure the on-site establishment of the systems announced in the 4th Basic Plan for Improving Employment of Construction Workers so that young skilled workers can find prospects in construction jobs and grow into skilled professionals."

This content was produced with the assistance of AI translation services.