This year's National Assembly audit is set to focus on the management responsibilities of construction companies. Issues such as rebar omissions, recurring serious accidents, post-completion defects, and cost increases in major national projects are varied, but the core question remains whether contractors have properly managed quality, safety, and costs.
The witness list has been primarily composed of executives at the department head level responsible for these issues. However, there are ongoing calls for the additional appearance of the CEOs of Posco E&C and SK Eco Plant, indicating the possibility of expanding the witness scope in the future.
According to the National Assembly and the construction industry on October 5, the National Assembly's Land, Infrastructure and Transport Committee recently selected Lim Nak-ho, head of Hyundai Construction's civil engineering division, and Shim Cheol-jin, head of Daewoo Construction's civil engineering division, as witnesses for the audit. Hyundai Construction is expected to face questions regarding the omission of rebar at the Samsung Station complex transfer center on the GTX A line, while Daewoo Construction will address cost issues related to the development of the Gadeokdo New Airport site.
Hyundai Construction's issues extend beyond simple construction errors to encompass the overall quality management system on site. It has been confirmed that approximately 178 tons of main rebar, which should have been installed in 80 columns on the fifth basement level of the Samsung Station complex, were omitted during construction.
The audit is expected to focus on why the design plans were not properly reflected in the actual construction process and how these omissions went undetected during site inspections. Additional costs due to reinforcement work and accountability for delays in the construction schedule will also be contentious points.
For Daewoo Construction, the core issue revolves around the cost of the Gadeokdo New Airport site development. The Daewoo Construction consortium has recently requested an increase of approximately 620 billion won in total project costs, citing rising raw material and fuel prices.
The audit is anticipated to scrutinize the appropriateness of the cost increase request, the potential for further increases, and compliance with the construction timeline and the scheduled opening in 2035. The construction industry argues that failing to secure appropriate project costs could impact both the schedule and quality, while there are concerns about preventing continuous cost increases in large-scale national projects driven by contractor demands.
Posco E&C is facing scrutiny over recurring safety issues. At the Posco E&C construction site for the Shin Ansan Line, four workers have died since 2024, including a subcontractor who fell at a site in Gwanak-gu, Seoul, in June. The key questions are whether the safety management system has functioned properly despite these repeated accidents and whether the primary contractor has effectively managed the risks faced by subcontracted workers.
Delays in the Songdo International City development are also being discussed. Initially, Park Jong-jin, head of Posco E&C's construction division, was nominated as a witness, but his selection was postponed, leading some lawmakers to demand that Song Chi-young, CEO of Posco E&C, be called in directly.
SK Eco Plant's potential additional witness selection remains a variable. In August, a structure and exterior material fell from a terrace of a unit in the 'Lux Ocean SK View' complex in Incheon, which was completed in February of last year. Given that this incident occurred less than two years after completion, the quality of construction and the inspection of defects, as well as the post-repair system, are expected to be major topics of inquiry.
Kolon Global is facing issues related to defects in multi-family housing. Kim Young-beom, CEO of Kolon Global, has been selected as a witness due to construction defects and post-repair issues in LH public housing. The responsibilities of contractors and ordering agencies regarding recurring defects in both private apartments and public housing are likely to be addressed.
A construction industry official stated, “When accidents occur, there is a growing atmosphere of examining the safety and quality management systems at the corporate level,” adding, “It is expected that the audit will also focus on the strengthening of internal controls.”
* This article has been translated by AI.
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