POSCO's construction unit under full government probe following repeated worker deaths

By Lim Jaeho Posted : August 8, 2025, 14:20 Updated : August 8, 2025, 17:16
POSCO EC CEO Song Chi-young listens to Democratic Party officials at a highway construction site in Gwangmyeong on August 6 where a Myanmar worker was electrocuted and left unconscious Yonhap
POSCO E&C CEO Song Chi-young inspects a construction site in Gwangmyeong, Gyeonggi Province, on Aug. 6, where a Myanmar worker was electrocuted and left unconscious. Yonhap

SEOUL, August 08 (AJP) - South Korea’s Ministry of Land, Infrastructure and Transport has launched a sweeping safety inspection of nearly 100 construction sites operated by POSCO Engineering & Construction, the government announced Thursday, in the wake of a series of fatal workplace accidents.

The probe, which began in late July, targets construction sites where POSCO E&C is the main contractor. The company, a subsidiary of steel giant POSCO Holdings, has faced mounting scrutiny after multiple labor-related deaths this year.

The government’s action follows a sharp rebuke from President Lee Jae Myung during a Cabinet meeting on July 29. “This is murder by willful negligence,” President Lee said, referencing the company’s repeated safety failures.

POSCO E&C responded by announcing an “indefinite suspension of operations” across 103 construction sites, including high-profile developments in Seoul and surrounding areas.

In a follow-up directive issued on Aug. 6, President Lee called on government ministries to “review all legally permissible measures,” including the revocation of construction licenses and disqualification from future public contracts.

Lee's statement came just two days after another fatal incident — the fifth in a string of deadly accidents at the company’s sites this year.

The Ministry of Employment and Labor will begin conducting joint inspections next week alongside the transport ministry, focusing on potential violations related to illegal subcontracting and delayed wage payments. Authorities said sanctions would be escalated if wrongdoing is confirmed.

Four workers have died on POSCO E&C sites since January. The most recent case occurred on Aug. 4, when a Myanmar national in his 30s suffered cardiac arrest from electrocution. On July 28, a man in his 60s was fatally trapped in a drilling machine. Earlier incidents in January and April involved deadly falls and structural collapses.
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