Culture ministry to stamp out 'irrational practices' in entertainment industry

The Ministry of Culture, Sports and Tourism announced Sunday that the entertainment industry’s “irrational” practices such as excessive labor by artists and non-written contracts will be eradicated in the future, in order to put a stop to scandals...

Singer Lee Seung-gi. Lee was recently embroiled in a controversy surrounding his contract with agency Hook Entertainment. The agency alledgely made threats against Lee and did not pay him due funds for 18 years. [JOONGANG PHOTO]

The Ministry of Culture, Sports and Tourism announced Sunday that the entertainment industry’s “irrational” practices such as excessive labor by artists and non-written contracts will be eradicated in the future, in order to put a stop to scandals such as the recent controversy surrounding singer Lee Seung-gi’s non-payment by his former agency Hook Entertainment.

The Ministry of Culture, Sports and Tourism said Sunday that the entertainment industry's practices of unfair binding contracts will be dismantled through yearly reports on labor practices and an amendment to existing laws including the Popular Culture and Arts Industry Act.

The announcement follows a legal battle regarding Lee’s 18-year contract of unsettled payments and alleged threats by the agency. Social discourse related to the nature of artists’ contracts with agencies has recently strengthened, according to the culture ministry’s release Sunday.

In particular, the case of pop culture artists who do not have a large following and are being “exploited” is becoming more and more serious, the culture ministry said.

“In a situation where Korean culture maintains a lot of attention and applause, strengthening the industrial ecosystem for entertainment is important in seeking continuous growth and protecting the weak within the industry,” said culture minister Park Bo-gyoon through a press release Sunday. “Our goal is to promote fairness in the popular culture and arts industry as a core project for the coming year.”

Specifically, the culture ministry said that Article 13 of the Popular Culture and Arts Industry Act will be amended so that in cases of unfair contracts, more administrative measures will be taken beyond just warnings and recommendations to agencies. Corrective measures such as fines and being subject to investigation under the Fair Trade Commission will be made available.

Under Article 18 of the Popular Culture and Arts Industry Act, a survey on industry status, market size and working environments will be made public every other year. As of 2021, 4,610 businesses have registered in the entertainment industry, with 1,416 businesses being subject to the most recent survey.

Legislation to protect industry workers, especially younger ones, was proposed by Rep. Lim Jong-seong of the Culture, Sports and Tourism Committee under the National Assembly. Educational programs will be made available for younger workers wanting to enter the industry, including programs on what rights they are entitled to when signing contracts, the culture ministry said.

BY LIM JEONG-WON [lim.jeongwon@joongang.co.kr]