Son Kyung-sik, Chairman of the Korea Employers Federation, Declares Advancement of Corporate-Led ESG Autonomous Management

Launch Event of the 2nd ESG Management Committee by Korea Employers Federation
Appointment of 18 Presidents and CEO-level Representatives from Major Domestic Groups as Committee Members

"Companies are the most proactive economic agents in ESG management. Starting with the 'Declaration on the Advancement of Company-led ESG Autonomous Management,' our companies will fulfill their roles and responsibilities as leading enterprises in creating an ESG industrial ecosystem."

Son Kyung-sik, Chairman of the Korea Employers Federation, stated this at the launch event of the 2nd ESG Management Committee held on the 10th at the Seoul Press Center.

On the same day, the Federation held the first meeting of 2023 along with the launch of the Management Committee. Eighteen new members at the president level from major domestic groups, including the top 10 conglomerates, were appointed as new committee members. Bang Ki-sun, 1st Vice Minister of the Ministry of Economy and Finance, attended to congratulate the committee's launch and urged a leading role in spreading ESG management.

Chairman Son mentioned that the EU's corporate supply chain due diligence guidelines and the IFRS sustainability disclosure standards are in their final stages, emphasizing the need for swift national-level responses through close cooperation between the government and industry.

He explained, "If our companies fall behind in the rapidly changing global ESG environment, they will face significant difficulties not only in exports and investments but also in international competitiveness," adding, "In addition to companies' own research and development, government policy finance and expanded technology investment must support this."

He also pointed out that for South Korea, where manufacturing has a high proportion, securing low-carbon new technologies and expanding eco-friendly SOC infrastructure are key solutions to address greenhouse gas issues in the industrial sector. Along with this, he called for bold regulatory easing such as expanding policy finance and technology investment to support voluntary and dynamic private sector transitions and simplifying permits and approvals.

Meanwhile, the committee unanimously adopted the 'Joint Declaration for the Advancement of Company-led ESG Autonomous Management,' which includes six activity goals, alongside the launch of the 2nd ESG Management Committee.

The six activity goals included in the joint declaration are ▲Reducing greenhouse gases and practicing a low-carbon circular economy ▲Establishing codes of conduct to comply with human rights and labor standards ▲Building a fair personnel and compensation system based on capabilities and performance ▲Protecting consumer rights and promoting the growth of affiliated companies and innovation and development of local communities ▲Spreading an anti-corruption culture through compliance programs ▲Voluntary supply chain due diligence and active expansion of autonomous disclosure.

Based on the declaration, the committee decided to foster a corporate management culture that earns greater trust from the public through regular review and improvement of related issues. It also agreed to regularize 'policy dialogue' sessions to share domestic and international policy environments and explore corporate challenges with key stakeholders.

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