'Is There a Stronger Separation System for Audit Committees in Germany and the US?' Fact Check Results

Economic Groups Refute Absence of US and Japan
Germany's 'Supervisory Board' Has Different Nature

[Asia Economy Reporters Dongwoo Lee and Gimin Lee] The business community has rebutted the claim by Kim Tae-nyeon, the floor leader of the Democratic Party of Korea, that the separated election system for audit committee members is more robust in major advanced countries such as the United States and Germany.

An official from the Korea Chamber of Commerce and Industry (KCCI) stated on the afternoon of the 15th, immediately after the 'Policy Meeting on the Fair Economy 3 Acts with Political and Economic Circles' held at the Yeouido Small and Medium Business Central Association hosted by the Democratic Research Institute, "Germany has a supervisory board, but its function is to oversee decisions made by the board of directors by employees, which is different in nature from Korea's audit system."

He asserted, "The German supervisory board does not conduct audits; rather, it supervises decisions made by the board of directors on behalf of employees, so it is not an audit."

Additionally, he emphasized that countries such as the United States and Japan do not have audit bodies similar to the Fair Economy 3 Acts. The KCCI official explained, "In the shareholder capitalism society of the United States, the separated election system for audit committee members cannot exist," and "Japan does not have a 3% rule either."

Earlier, Representative Kim said at the National Assembly's National Audit Countermeasure Meeting in the morning, "Some economic organizations and media repeatedly claim 'no corporate regulation is allowed' and 'there is no fair economy law anywhere in the world,'" adding, "These claims are inconsistent with the purpose of the law and do not correspond to the facts."

He stated, "The Fair Economy 3 Acts are reform bills aimed at aligning with global standards," and "Even the separated election system for audit committee members, which the business community most opposes, is more strongly established in major advanced countries such as the United States and Germany."

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