Photo = Fair Trade Commission

 

[Alpha Biz= Reporter Kim Jisun] The Korea Fair Trade Commission (KFTC) has reportedly initiated an investigation into suspected unfair subcontracting practices within the system integration (SI) divisions of major corporate groups.

According to industry sources, the KFTC sent investigators to companies including SK, Doosan, KT DS, and Hanjin Information & Communication earlier this month to gather subcontracting-related documents during on-site inspections.

The focus of the investigation is on the headquarters or subsidiaries with SI business units that are responsible for developing and establishing information systems.

The KFTC is looking into whether these companies engaged in unfair practices, such as entering into verbal agreements without written contracts or failing to pay subcontractors in a timely manner, particularly with regard to small and medium-sized enterprises (SMEs).

 

 

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