About us
(Seoul=Yonhap Infomax) Ha Rin Song – The National Pension Service (NPS) has announced plans to strengthen its domestic equity ESG (Environmental, Social, and Governance) evaluation criteria.
The NPS Fund Management Committee convened its sixth meeting for 2025 at the Seoul Government Complex on the 24th, deciding to increase the penalty for serious incidents such as fatal accidents in the industrial safety scoring system from the current 10% to 33%.
The Fund Management Headquarters currently evaluates domestic listed companies based on 61 ESG-related indicators, as well as the frequency of incidents and accidents, and utilizes these results in its investment decision-making process.
The scope of penalty application will also be expanded. Previously, deductions were applied only to workplaces with frequent industrial accidents. Going forward, penalties will also be imposed in cases where two or more fatalities occur annually, in the event of a major industrial accident, or if there is concealment or non-reporting of industrial accidents.
Additionally, the committee reviewed and approved a revision to the NPS fund management plan to secure an additional budget of approximately 1.25 trillion won ($940 million) for pension benefit payments. As a result, the total budget for NPS benefit payments this year will increase from 48.41 trillion won ($36.4 billion) to 49.97 trillion won ($37.6 billion).
Minister of Health and Welfare Jeong Eun-kyeong stated, "Through responsible stewardship activities regarding industrial safety and serious accidents, we will continue to monitor and improve implementation processes to enhance both corporate value and fund returns."
hrsong@yna.co.kr
(End)
Copyright © Yonhap Infomax Unauthorized reproduction and redistribution prohibited.