Translation result
HD Hyundai Heavy Industries skips first-round bid for detailed design and lead ship construction
Union raises fairness concerns over security-incident scoring; warns of threat to workers’ jobs and the local economy
The HD Hyundai Heavy Industries labor union submitted a petition to the Ministry of Employment and Labor demanding a fair selection process for the Korean next-generation destroyer (KDDX) program and protections for workers’ job security.
Industry sources said on the 19th that the Defense Acquisition Program Administration’s (DAPA) recent bid for the KDDX detailed design and lead ship construction failed after Hanwha Ocean was the sole bidder. HD Hyundai reportedly chose not to participate in the first-round tender after weighing potential security-score penalties tied to a past leak of military secrets and broader concerns about the project’s commercial viability.
The union argued that fairness in the KDDX contractor selection is directly linked to employment stability and the regional economy, and so filed the petition. The submission contains roughly 2,800 signatures from workers in the ship and medium-sized vessel division, collected over about three weeks beginning April 6 by union delegates and leadership who canvassed work sites.
In the petition, the union warned that the reemergence of controversy over score deductions related to HD Hyundai’s past security incident could delay the program or cost the company the contract, triggering layoffs and an economic downturn in Dong-gu, Ulsan.
The union also noted that the security incident already underwent judicial rulings and administrative sanctions, yet DAPA’s consideration of additional score deductions based on the timing of a final guilty verdict has reopened questions about fairness in the contractor-selection process.
The union said, \”We are not denying the seriousness of security issues or asking that past mistakes be covered up. But state-led defense projects should not be decided solely by corporate competition; officials must also weigh the consequences for workers’ livelihoods and the local economy.\”
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