OECD Stresses Governing Structure of BusinessesThe Organization of Economic Cooperation and Development(OECD) has recently sent its basic principles on the governing structure of business groups to the Korean government.
This will bring massive changes to domestic chaebol groups' structure and increased pressure on further restructuring.
The Ministry of Finance and Economy, on February 18, announced that the OECD has reported its guidelines to member nations.
It is based on English-American model cases that emphasize stockholders' rights, correction of wrongdoings, a board's watchdog function and public scrutiny.
A source from the Ministry said, 'It is not mandatory, but we will reflect these principles in our market economy in the near future.'
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