# South Korean construction industry regulation and labor > Live situation record from CLSTR: https://clstr.news/situations/south-korean-construction-industry-regulation-and-labor > Updated: 2026-10-02T00:01:44.000Z. Sources: 4. Developments: 2. The South Korean government has introduced regulatory changes to address illegal subcontracting in the construction industry. Amendments to the Enforcement Decree of the Framework Act on the Construction Industry now allow companies that voluntarily report and rectify illegal subcontracting to receive up to a 50% reduction in fines or business suspension periods. To ensure faster enforcement, the Ministry of Land, Infrastructure and Transport will directly issue sanctions for serious violations, a task previously delegated to local governments. Efforts to improve the sector have also expanded to include public facility safety and labor rights. The Administrative City Construction Agency (ACCA) has held consultations to enhance the quality and longevity of public buildings, focusing on practical measures like leak prevention. Concurrently, labor discussions have emerged regarding the rights of non-regular workers, with requests made to local officials for direct employment, anti-discrimination measures, and increased incentives for workers impacted by industrial crises. ## Timeline ### 2026-10-02: South Korean agencies address construction quality and labor rights South Korean agencies and local officials are addressing construction quality improvements and labor rights for non-regular workers at Hyundai Steel. 2 sources. https://clstr.news/cluster/south-korean-agencies-address-construction-quality-and-labor-rights ### 2026-09-15: South Korea to reduce penalties for voluntary reporting of illegal construction subcontracting South Korea will reduce administrative penalties by up to 50% for construction firms that voluntarily report and correct illegal subcontracting, while the Ministry will directly sanction major violations. 2 sources. https://clstr.news/cluster/south-korea-to-reduce-penalties-for-voluntary-reporting-of-illegal-construction-subcontracting --- Cite as: South Korean construction industry regulation and labor. CLSTR, https://clstr.news/situations/south-korean-construction-industry-regulation-and-labor