Three Days Until the Serious Accident Punishment Act Takes Effect... SME Industry Voices "On-Site Anxiety"

Korea Federation of SMEs to Hold Meeting with Manufacturers on 24th
Urges Joint Efforts by Government, National Assembly, and Workers
"Focus Only on Employer Punishment... Obligations Need to Be Specified"

[Image source=Yonhap News]

[Asia Economy Reporter Kim Bo-kyung] "We also want to receive industrial accident prevention consulting and hire professionals like large corporations. However, after passing through the COVID-19 tunnel, the reality of barely maintaining current jobs due to increased loans is by no means easy."

On the morning of the 24th, three days before the enforcement of the Serious Accidents Punishment Act, the Korea Federation of Small and Medium Business held an on-site meeting at a manufacturing company located in Cheonan, Chungnam. From the 27th, the Serious Accidents Punishment Act will apply to workplaces with 50 or more regular employees. This meeting was organized to convey the voices of small and medium-sized enterprises (SMEs) feeling confusion and anxiety and to urge joint efforts from the government, the National Assembly, and workers.

The SME sector expressed that above all, the legal obligations for business owners are ambiguous, causing many SMEs to struggle with preparation. Lee Ho-seok, co-chairman of the Labor and Workforce Committee of the Korea Federation of Small and Medium Business, stated in an appeal, "Even now, SMEs are frustrated because they do not know what and how to do, trembling with anxiety that they could become lawbreakers at any time." He added, "The punishment level is the highest in the world, but in a reality where no one can confidently say they can fully comply with the law, SMEs inevitably become intimidated."

The SME sector appealed to the government to support budgets for facility improvements for industrial accident prevention and hiring professional personnel. They requested the National Assembly to establish regulations that exempt business owners from liability if there is no intentional or gross negligence. They also urged workers to actively cooperate on-site to create a safe workplace by complying with safety rules.

On the 8th, the Serious Accidents Punishment Act was passed at the National Assembly plenary session. Photo by Kang Jin-hyung aymsdream@

Joo Bo-won, co-chairman of the Labor and Workforce Committee, also argued on-site that the punishment level for business owners should be eased and the obligations should be specified. He pointed out, "Industrial accidents are an area where causal relationships are difficult to clarify, but the Serious Accidents Punishment Act focuses excessively on punishing business owners, including a minimum imprisonment term of one year."

He continued, "To minimize excessive anxiety and uncertainty on-site and to realize the legislative intent of preventing industrial accidents, the punishment level for business owners should be eased, and the obligations should be specified." Representatives of industry-specific unions and associations explained the side effects that would occur if the Serious Accidents Punishment Act is forcibly applied to SME sites without sufficient preparation and supplementation.

Lee Tae-hee, head of the Smart Job Division at the Korea Federation of Small and Medium Business, said, "Despite the Serious Accidents Punishment Act being a law with strong criminal penalties such as minimum imprisonment terms, the lack of provisions for exemption in cases without intentional or gross negligence is an objective problem pointed out even by experts." He also emphasized, "Active recognition of efforts to fulfill obligations is necessary when the safety management system is established using government consulting, etc."

Meanwhile, a survey conducted last month by the Korea Federation of Small and Medium Business found that 53.7% of small and medium manufacturing businesses with 50 or more employees answered that compliance with the Serious Accidents Punishment Act by the enforcement date is impossible. The main reasons cited were "difficult-to-understand business owner obligations" and "insufficient dedicated industrial safety personnel."

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