Embraces Return of Four Biggest Korean Business Groups after Six Years
Correction 8/23 4:09 p.m. KST: A previous version of this story incorrectly stated that the Federation of Korean Industries had changed its name to the "Korea Businesspeople Association." However, the organization has only changed its Korean-language name. Translating that name change into English misrepresented the fact that the organization is keeping its well-known English-language moniker and abbreviation of "Federation of Korean Industries" and "FKI."
The Federation of Korean Industries (FKI) has changed its Korean-language name and officially appointed Ryu Jin, chairman of Poongsan Group, as its new chairman. The organization's new Korean-language name, which can be transliterated as "Hangyeonghyeop," roughly translates to "association of Korean businessmen." This Korean-language name is historically significant as it is the organization's original name from when it was created in 1961. The name was subsequently changed in 1968.
The four major Korean business groups -- Samsung, SK, Hyundai, and LG -- which had previously left the organization in the wake of the Choi Soon-sil scandal, have rejoined the organization with some of their affiliates also joining as nominal members.
On Aug. 22, the FKI held an extraordinary general meeting at FKI Tower in the Yeouido area of Seoul and approved changes to its articles of association including a name change and the absorption and integration of the Korea Economic Research Institute (KERI) into the KBA.
The organization was founded in 1961 under the name of the KBA led by 13 businesspeople, including the late Samsung founder Lee Byung-chul, but changed its name to the FKI in 1968. After 55 years, the organization returned to its original name.
The new head is Ryu Jin, chairman of Poongsan Group. Ryu is regarded as a pro-U.S. figure with strong ties to U.S. political and business communities. He has been vice chairman of the FKI since 2001 and currently chairs the Korean side of the Korea-U.S. Business Council.
“I will ensure that the KBA will become a trusted business organization,” Ryu said. “I will lead by setting an example to ensure that a transparent corporate culture is well established in the Korean business world. The KBA will enforce ethical standards that meet the expectations of the public beyond mere compliance monitoring by launching an ethics committee.”