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Korea Elevator Maintenance Association Holds Rally to Condemn Unfairness of Maintenance Subcontracting Bill
Korea Elevator Maintenance Association
Rally to condemn unfairness of remunerative subcontracting bill
Actually banning all subcontracting, causing subcontracting crisis and poor maintenance

2012/06

The Korea Elevator Maintenance Association (Chairman Seo Gil-soo, hereinafter referred to as the Association) rallied to protest the unfairness of the proposed elevator maintenance subcontracting bill in the Enforcement Decree of the Elevator Act. The Conservative Association, which held its first rally in front of the Gwanghwamun Government Complex in Seoul for three days from the 29th of last month, is taking a hardline stance that it will not withdraw the rally until its demands are met.

Since the amendment to the Elevator Act was passed by the National Assembly in December last year and promulgated on February 22 this year, manufacturers and the maintenance contractor industry, who have been in constant consultation with the Ministry of the Interior and Safety on the amendment to the subordinate regulations of the Elevator Act, have been struggling for months without finding a consensus on the issue of restricting batch subcontracting of elevator maintenance work. In response, the Conservation Association, which is composed of large-scale suppliers, condemned the unfairness of the restriction on batch subcontracting and the expansion of those who supply elevator parts.

"The law's title says that batch subcontracting is prohibited for reasons such as poor elevator maintenance, but if it is based on the subcontracting ratio (50/100) set by the presidential decree, it actually means a total ban on subcontracting," the association said. "This is the same as saying that we, who have been working on the safe operation of elevators without leaving the side of the elevator for even a moment, are being told to close our business and go out on the streets due to the revision of the Elevator Safety Act."

The Conservative Association has been submitting documents and petitions to the Ministry of the Interior and Safety, the National Audit Office, the Blue House, and the National Human Rights Commission to inform them of the injustice. "Currently, the five major elevator companies and their subcontractors number more than 300 out of more than 800 total maintenance companies, accounting for 60 percent of the total elevator maintenance market," said Seo Gil-soo, chairman of the Conservation Association. "However, due to the specificity of the maintenance industry, subcontracting is prohibited and Conservation Association members are in danger of being reduced to minor maintenance companies." "I don't know whose interests are served by a regulation that completely disrupts the elevator maintenance system that has been built up over decades and puts manufacturers and small subcontractors out of business," he said, adding that the end result will be accelerated degradation and compromised public safety."
 
Statement at Extraordinary General Meeting, Continued Rallies of Condemnation 
At the extraordinary general meeting held on the 31st, the association announced a statement stating that it would withdraw the revised elevator bill without collecting opinions; that the proportion of elevator maintenance work would be determined by listening to the opinions of the parties and taking into account the reality; that the association would take responsibility for elevator maintenance and manage it thoroughly; that it would present evidence of poor management by subcontracted maintenance companies; that it would stop strengthening elevator regulations and focus on industry development; and that it would ensure a healthy elevator maintenance industry, The association expressed its intention to expand the rally for survival until its wishes are fulfilled.

In its response to the petition, the Ministry of the Interior and Safety reiterated its principled stance that "there are cases where elevator maintenance work is not performed by the original contractor, but is subcontracted in batches, and the actual work is performed by subcontractors in batches." In accordance with the legislative intent of Article 11.5 of the Elevator Act, it is intended to limit batch subcontracting so that elevator maintenance can be carried out safely and thoroughly.

In addition, regarding the proposed amendment to the Elevator Aftercare (Amendment No. 10, Article 2), which would expand the mandatory supply of parts for elevator maintenance from management entities to a combination of management entities, maintenance companies, and maintenance companies, the ministry clarified, "The purpose is to ensure smooth supply of parts, minimize the repair period, and promote user safety, not to give preferential treatment to certain organizations."

The Ministry of the Interior and Safety plans to hold a public hearing on the draft amendments to the subordinate regulations of the Elevator Act and the appropriate scope of subcontracting in the elevator maintenance business at the Information Society Agency in Mugyo-dong, Seoul on the 8th to actively collect opinions from stakeholders. The Conservative Association plans to continue to hold rallies to condemn the government's unilateral legislative process against the current amendments, which are unfounded and ignore reality. 

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