According to an Ilgan Sports report on January 22, former employees of Agency A individually submitted complaints to the Seoul Regional Office of Employment and Labor in the second half of last year, citing unpaid wages. Out of four employees who were working at the company at the time, three reportedly took part in the filing.
The total amount of unpaid wages is estimated at approximately 30 million won. One former employee, identified as B, told Ilgan Sports, “I didn’t receive three months’ worth of salary from Chairman C,” adding that even before payments stopped entirely, salaries were often delayed or paid in installments.
B further claimed that during the process of filing the complaint, it was discovered that the company had not enrolled its employees in employment insurance. “We found out the company hadn’t registered us for employment insurance, which made it difficult to even file a proper report,” B said.
B also pointed out that the issue extends beyond former employees. “Some artists whose exclusive contracts are still in effect are effectively stuck because they remain under contract.” B stated, adding that payment problems were not limited to wages. “There were also issues with settlements for music video production costs, outfit expenses, and hair salon fees for the agency’s artists.”
Ilgan Sports reported that repeated attempts to contact Chairman C for comment were unsuccessful, with no response provided. Earlier on the same day, another media outlet reported a separate case involving unpaid fees related to idol outfits produced for the agency. According to the report, an outfit designer received a production request from the agency on October 28 last year, completed the final delivery on December 9, but never received payment.
The agency allegedly continued to delay payment, with the total unpaid amount estimated at around 2 million won. Eventually, the designer reportedly sent a formal legal notice to both the agency’s corporate address and the representative’s home.
As allegations of unpaid wages and production costs continue to surface, scrutiny over the agency’s business practices is intensifying, with industry observers closely watching whether further legal action or official responses will follow.
Sources: Daum