Kang Hoon-sik Calls for Comprehensive Measures to Address Rising Vacancy Rates in Knowledge Industry Centers

Kang Hoon-sik, head of the Presidential Office, highlighted the alarming increase in vacancy rates at knowledge industry centers and called for fundamental institutional reforms on September 7.

During the 49th senior secretary and advisor meeting held at the Blue House, Kang stated that the surge in supply of knowledge industry centers was driven by excessive profit-seeking by construction companies and indiscriminate approvals by some local governments amid low interest rates and a real estate boom around 2020. He noted, "The average unsold rate of knowledge industry centers completed in the last three years is 27%, with vacancy rates reaching 44%. In some areas with poor location conditions, vacancy rates exceed 70%, leaving them effectively abandoned as 'ghost buildings.'"

Kang also pointed out that citizens have fallen victim to fraud, including false advertising and illegal resale practices.

To address the vacancy issue, he directed relevant ministries, including the Ministry of Trade, Industry and Energy and the Ministry of Small and Medium Enterprises, to swiftly develop a comprehensive plan for alleviating vacancies and improving regulations. This includes proactive repurposing of facilities, adjustments to tenant qualifications and industries in line with current trends, and reforming management and oversight systems to break the cycle of 'pre-sale and neglect.'

Additionally, Kang noted that from 2023 to last year, there were an average of 836 workplace accidents involving environmental workers, stating, "The workplace, where they go to earn a living, should not become a site of death."

He emphasized that despite the government's mandate since December 2019 for 'three-person teams' and 'daytime work' for environmental workers, exceptions are being excessively granted. He instructed the relevant ministries, including the Ministry of Climate and Environment, the Ministry of Labor, and the Ministry of the Interior and Safety, to investigate why these principles are not being implemented on-site and to promptly establish effective measures to address the issue.