Regulatory scrutiny of South Korea’s corporate giants and online platform operators is set to intensify, following President Lee Jae-myung’s recent antitrust push to bolster the Korea Fair Trade Commission (KFTC). The move is part of a broader agenda to enhance economic fairness and protect small and medium-sized businesses from abusive practices, according to The Korea Herald.

During his first Cabinet meeting last week, President Lee emphasized the need to reinforce the KFTC’s capabilities, particularly through staffing increases. The agency is now internally reviewing which divisions are most in need of personnel expansion, industry sources told The Korea Herald on Wednesday.

As of the end of last year, the KFTC employed 650 civil servants, placing it 19th among 27 government bodies under the Prime Minister’s Office. That number is significantly smaller compared to the Ministry of Economy and Finance, which has more than 1,100 employees.

“In line with the president’s directive, we are currently identifying which divisions require additional staffing and to what extent,” a KFTC official said, noting that a thorough review is underway and will take time due to the need for data analysis and internal evaluation.

The initiative is widely seen as aligning with President Lee’s campaign promise to curb abuses by dominant platforms and strengthen protections for smaller merchants. Per The Korea Herald, there is a growing expectation that these regulatory reinforcements will focus on tech platforms and large conglomerates accused of unfair practices.

Related: Korea’s Antitrust Watchdog Faces Backlash Over Alleged Favoritism Toward Foreign Firms

One legislative avenue likely to gain traction is the long-discussed “Online Platform Fairness Act.” Sources familiar with the matter indicate that the administration may revive this proposal, which could include provisions for establishing a dedicated bureau within the KFTC to oversee online marketplace regulation.

Lee Jung-hee, an economics professor at Chung-Ang University and former KFTC commissioner, voiced support for the administration’s direction but cautioned that enforcement would falter without sufficient manpower. He advocated for a dedicated unit within the KFTC to handle the increasing volume of platform-related cases, noting its similarity to the business group monitoring bureau created during the Moon Jae-in administration.

Meanwhile, existing investigations by the KFTC are already targeting major names in the tech and corporate sectors. Food delivery giants like Baemin and Coupang Eats are under review for potentially unfair treatment of partner merchants, while Coupang is also facing scrutiny over delayed payment settlements.

Among conglomerates, CJ Group, HDC Hyundai Development, and Lotte are currently being investigated for possible internal support schemes that could distort fair competition. Analysts say these efforts reflect the administration’s broader aim to challenge market dominance and intra-group favoritism that may harm smaller players.

Source: The Korea Herald