Foreign businesses in South Korea have warned that a new workplace safety law due to come in force next year will undermine the country’s appeal as a destination for overseas companies.
The American and European chambers of commerce in Seoul said the Severe Accident Punishment Act, which will take effect in January, has exacerbated longstanding concerns about criminal penalties for even minor regulatory infractions.
Several chief executives whose companies have been investigated for transgressions ranging from employment law violations to misfiling of customs declarations have been subjected to criminal prosecution, travel bans and the threat of prison or deportation.
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