The government is strengthening its training system for construction workers to proactively address the demand for skilled labor needed for large-scale construction projects, such as semiconductor fabs and data centers. It is also expanding welfare programs, including low-interest financial products and support for rest facilities and childbirth.
The Ministry of Employment and Labor announced that Minister Kim Young-hoon held a 'field report meeting' on September 30 at the headquarters of the Construction Workers Mutual Aid Association in Seoul to review the progress of key policy initiatives related to construction workers. The association, established in 1997, operates retirement mutual aid systems, skill enhancement training, employment support, and welfare programs for construction workers and will celebrate its 30th anniversary next year.
During the meeting, Minister Kim stated, "As the influx of new workers, including young people, into the construction industry decreases, the aging workforce could exacerbate structural imbalances in labor supply and a shortage of skilled workers. We must prepare in advance for the demand for skilled labor required for large-scale construction projects, such as semiconductor fabs and data centers in mega special zones."
He added, "We need to make further efforts to systematize the improvement of working conditions in the construction industry and the training of skilled workers centered on practical experience."
In response, Jang Geon, chairman of the association, said, "As we approach the 30th anniversary of the association's establishment next year, we will review the training system for construction workers and establish a systematic workforce training system to actively respond to the demand for skilled labor in regional construction projects, including mega special zones."
Expanding financial accessibility for construction workers was also discussed as a key issue. In July, the Ministry of Labor, the association, BNK Financial Group, and the two major labor unions signed a business agreement for 'inclusive finance for construction workers.' Busan Bank and Kyongnam Bank launched a new loan product called 'New Hope Seed' that uses the number of days construction workers have contributed to their mutual aid fund as a basis for determining loan limits and interest rates. The maximum loan limit is 35 million won, with interest rates reaching up to 5%.
Additionally, existing specialized products from Hana Bank will see an increase in the loan limit from the current 20 million won to 35 million won by the end of this year, along with plans to lower interest rates. The Ministry of Labor, the Financial Supervisory Service, and the association are also planning to sign a business agreement in October to further expand the number of banks offering inclusive finance.
Minister Kim urged, "Please expedite the expansion of inclusive finance to commercial banks so that construction workers can feel the changes."
Plans to expand welfare programs for construction workers were also reported. Using additional funds secured from the increased retirement mutual aid contributions in April, the ministry will promote improvements to rest facilities at small and medium-sized construction sites, support for vacations, practical training spaces for vulnerable groups, and childbirth support funds.
The childbirth congratulatory support will provide 300,000 won in cash for newborns, with additional support of 100,000 won for second children and 200,000 won worth of supplies for third children and beyond. Small and medium-sized construction sites will receive up to 5 million won for rest facilities and supplies.
Minister Kim emphasized, "The construction industry is a key sector that supports the national economy and the lives of citizens, significantly impacting employment and local economies. I urge everyone to focus all efforts on creating a foundation for young people to view construction sites as spaces of opportunity and growth, allowing them to develop into skilled professionals."
* This article has been translated by AI.
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