Construction Companies Creating Safe Workplaces Receive More Guarantee Benefits... 5% Discount on Guarantee Fees

Various benefits are provided to construction companies that have made efforts to prevent industrial accidents.

The Korea Occupational Safety and Health Agency (KOSHA) signed a business agreement on the 19th with the Housing and Urban Guarantee Corporation and the Korea Housing Finance Corporation titled “Business Agreement for Guarantee Support for Construction Companies Excelling in Industrial Accident Prevention Activities and for Improving the Safety and Health Levels of Agreement Institutions.”

According to the agreement, KOSHA will provide economic benefits such as guarantee fee discounts when issuing sales guarantees to construction companies ranked within the top 1000 in total construction license market value that have scored 90 points or higher (out of 100) in the “Industrial Accident Prevention Activity Performance Evaluation” currently being conducted.

The Housing and Urban Guarantee Corporation offers a 5% discount on guarantee fees when issuing sales guarantees for housing, mixed-use residential-commercial buildings, and officetels, while the Korea Housing Finance Corporation provides a 0.1%p reduction in guarantee fee rates for construction fund guarantees targeting housing construction businesses and others.

Previously, the industrial accident prevention activity performance evaluation was only used as additional points during bidding for government, local government, and public institution projects, mainly benefiting construction companies focused on public construction projects.

With this business agreement, it is expected that comprehensive construction companies primarily engaged in private construction projects will also be encouraged to participate in the industrial accident prevention activity performance evaluation.

(From left) Ryu Jang-jin, Executive Director of Korea Occupational Safety and Health Agency, Lee Jeong-il, Standing Director of Korea Housing Finance Corporation, and Yoon Myung-kyu, Standing Director of Housing and Urban Guarantee Corporation, are signing an agreement.

Furthermore, due to the revision of the Ministry of Employment and Labor’s notice, the scope of the performance evaluation target will expand from companies ranked within the top 1000 to all comprehensive construction companies (approximately 19,000 companies) starting in 2024, which is expected to gradually increase the number of companies benefiting from guarantee support.

Accordingly, the three institutions will promote ▲ joint operation of the guarantee program for construction companies excelling in industrial accident prevention activities ▲ support for safety and health management activities of partner institutions ▲ mutual cooperation to create a win-win ecosystem for construction companies.

In addition, they plan to cooperate to reduce fatal accidents through preemptive safety and health activities by construction companies and to realize the social value of public institutions.

This agreement has expanded the opportunity to participate in the performance evaluation to contractors involved in private construction projects.

Contractors can be evaluated by the Ministry of Employment and Labor and KOSHA on their “efforts in industrial accident prevention activities” and receive benefits such as guarantee fee discounts from financial public institutions.

Jongju Ahn, Director of KOSHA, said, “I consider this agreement meaningful as it encourages participation in the industrial accident prevention activity performance evaluation not only for public projects but also for construction companies whose main business is private projects,” adding, “We will actively support the safety and health management activities of construction companies to create safe workplaces.”

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