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[Sejong=Asia Economy Reporter Moon Chaeseok] Ahead of the enforcement of the Serious Accident Punishment Act (Serious Accident Act) next year, the government has once again introduced industrial accident prevention measures that strengthen the responsibility of headquarters for construction site fatalities. Following last month's announcement that if a worker dies at a construction site starting this year, not only the subcontracted site but also the headquarters will be subject to government supervision, the government has now prepared and disclosed detailed guidelines. If a company experiences repeated fatalities at construction sites for two consecutive years, the government will simultaneously supervise both the headquarters and all nationwide sites affiliated with the headquarters. The Serious Accident Act will be enforced from January 27, next year, for companies with 50 or more employees, and from January 27, 2024, for companies with 5 to 49 employees.

On the 25th, the government announced the "2021 Industrial Accident Fatality Reduction Measures" containing these details. Kwon Kisub, Director of Labor Policy at the Ministry of Employment and Labor, stated, "To reduce industrial accident fatalities, we will establish headquarters-centered responsibility management for approximately 8,000 large-scale construction sites worth over 10 billion KRW, constructed by construction companies ranked 200th or higher in construction order." He added, "If a fatal accident occurs again at a site constructed by a safety management-deficient company that had fatalities for two consecutive years recently, we will conduct special supervision simultaneously on the headquarters and affiliated sites."

Supervision will be carried out by labor inspectors from the Ministry of Employment and Labor’s Industrial Safety Division and six regional offices (Seoul, Jungbu, Busan, Daegu, Gwangju, Daejeon). A ministry official explained, "Regional labor inspectors have the authority of special judicial police (special investigation police)." He added, "If special supervision is conducted and 'safety and health measures' under the Industrial Safety and Health Act (ISHA) are not properly implemented, the case can be referred to the prosecution." He further explained, "During the investigation of the headquarters, we will verify whether budgets and manpower support related to safety management were adequately provided." He also noted, "With the enforcement of the Serious Accident Act next year, the enforcement decree is expected to include provisions related to 'establishment of safety and health systems,' which will grant the authority to criminally punish headquarters presidents and safety management executives after the law is passed."

In addition to large-scale construction companies with projects over 10 billion KRW, management plans for 'small to medium-scale' companies with projects between 100 million and 10 billion KRW and 'micro-scale' companies with projects under 100 million KRW have also been prepared. Among approximately 110,000 small to medium-scale construction sites, those operated by companies that had fatalities in the past three years and sites supervised by technical guidance institutions with low ratings will be subject to surprise patrol inspections and focused supervision. For about 150,000 micro-scale construction sites, financial support for safety facilities will be expanded from 65% to 80% for purchase and rental costs. The Ministry of Land, Infrastructure and Transport and the Ministry of Economy and Finance are currently promoting plans to increase the weight of construction safety in the comprehensive evaluation bidding system from the current 30-40% to 40-50%.

New prevention measures for 'caught-in' accidents at manufacturing sites have been established. Approximately 50,000 workplaces with fewer than 100 employees that possess machinery with caught-in accident risks, such as cranes, will be closely managed. Workplaces will be encouraged to conduct voluntary inspections for caught-in accident prevention, and if inspection results are not submitted or technical guidance is not followed, supervision will be conducted. When a prime contractor outsources repair and inspection tasks of machinery and equipment with caught-in accident risks to subcontractors, the prime contractor will be required to verify whether subcontractor employees work mixed together, and the Industrial Safety and Health Act will be amended and legislatively notified to impose obligations to coordinate work schedules among subcontractors.

Chemical workplaces will be managed with tailored approaches according to risk levels. Considering workplace size, accident history, and the level of hazardous material handling, priority management workplaces will be selected for focused supervision. Safety and Health Corporation and Environmental Health Corporation will inspect all hazardous chemical handling facilities to ensure compliance with the 'Chemical Substances Control Act' facility standards and will issue improvement orders for outdated or hazardous facilities. A new reporting system will be introduced targeting workplaces violating the three major safety measures: 'fall prevention, caught-in prevention, and mandatory use of essential protective equipment.' Regulations to support industrial accident prevention activities by local governments will be newly established in the Industrial Safety and Health Act.

Meanwhile, the government has firmly stated its intention to promptly enact the enforcement decree delegation regarding management's 'autonomous safety and health system establishment.' Around July to August, the enforcement decree will specify what concrete systems management must establish. Earlier, the Korea Employers Federation requested on the 25th of last month that tax reductions be provided when costs are invested in establishing autonomous safety and health systems. The current measures only include support such as safety management field support teams and expanded tax credits for safety facilities targeting small-scale companies subject to the Serious Accident Act enforcement in 2024. Currently, only 20 fields of industrial accident prevention facilities, such as press and shearing machine guards, are eligible for tax credits, but by 2024, this will be expanded to most industrial accident prevention facilities under Article 38 of the Industrial Safety and Health Act.

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