Defendant

A A shall be punished by a fine of KRW 4 million, and Defendant B shall be punished by a fine of KRW 6 million.

The above fines are imposed by the Defendants.

Criminal facts

[2016 Highest 739]

1. Defendant A, as a representative of F in Bocheon-si E, is an employer who was awarded a subcontract for construction work amounting to KRW 960,000,000 for the structural part of C, H, I, and J ground officetels at the construction site of Andong-si G, H, I, and J ground officetels, and was employed by 52 full-time workers and participated in construction.

When a worker dies or retires, the employer shall pay the wages, compensations, and other money or valuables within 14 days after the cause for such payment occurred.

Provided, That the date may be extended by mutual agreement between the parties in extenuating circumstances.

However, on November 5, 2015, the Defendant did not pay KRW 1,360,00, total sum of K’s wages in October 2015 and November 1, 2015, as well as KRW 8,755,000, total sum of four workers listed in the attached Table (1) through No. 26 through No. 29, and No. 29, within 14 days from the date of retirement without any agreement on the extension of the payment period between the parties concerned.

2. Defendant B, as the representative of LA M Co., Ltd., the Defendant, with four full-time workers, was awarded a contract for construction of an officetel for KRW 1.3 billion from N Co., Ltd., and was awarded a subcontract for 9.6 million to A without a construction license.

Where a construction business has been executed two or more times under subparagraph 11 of Article 2 of the Framework Act on the Construction Industry, if a sewage supplier who is not a constructor defined in subparagraph 7 of Article 2 of the same Act fails to pay wages (limited to the wages generated from the relevant construction works) to his/her workers, the immediately upper-tier supplier shall be jointly and severally liable with a sewage supplier for the payment of wages to the workers employed by a sewage supplier.

However, the Defendant did not pay KRW 500,000 under a contract for construction work after November 18, 2015, which is the date of payment of the contract amount (65% compared to the progress rate of construction work).