SK D&D has established standards and procedures for safety and health management and has developed a Safety and Health Management Manual to prevent industrial accidents at its business sites, reflecting requirements from the Serious Accident Punishment Act and the Industrial Safety and Health Act. The manual is composed of the company’s Safety and Health Policy, the Safety and Health Management System, Risk Assessment, as well as evaluation criteria for the safety and health capabilities and qualifications of construction contractors. Its scope applies to all business divisions and sites, including business partners and other stakeholders who access the sites. SK D&D is committed to identifying applicable laws and standards for headquarters and business sites, and to operating the safety and health management system smoothly in accordance with established principles and procedures. Through these efforts, the company aims to prevent industrial accidents and ensure the safety of all workers.

Safety and Health Management Manual

SK D&D has established an annual roadmap with clear safety and health management objectives aimed at achieving zero serious accidents while advancing to a leading position within the industry. To accomplish these detailed targets, the company implements a variety of programs and activities designed to enhance workplace safety. To foster active participation in safety and health management across all levels of the organization, SK D&D has developed and enforces behavior principles tailored to each employee rank. In 2024, the company strengthened site-centered SHE (Safety, Health, and Environment) activities, conducted pre-checks and inspections of high-risk tasks, and supported the establishment of SHE management systems at its subsidiaries. Moving forward, SK D&D remains committed to cultivating a top-tier safety culture and enhancing SHE management capabilities to ensure the well-being of all stakeholders.

As a project owner, SK D&D manages potential safety and health hazards at all rental housing sites under development and operation. The company conducts regular inspections of firefighting systems, fire hazards, and safety facilities to evaluate site-specific risks. These assessments comprehensively consider legal requirements, internal manuals, organizational culture, and other internal and external factors to identify potential risks. For high-risk or serious hazards, risk-level-based mitigation plans are established. The Chief Safety Officer (CSO) or other responsible executives directly review critical risk factors, ensure appropriate corrective actions are developed, and monitor their implementation. To further strengthen proactive risk management, SK D&D performs monthly risk assessments at all sites where it acts as project owner. For each identified hazard, risk reduction measures are developed and implemented in alignment with CSO KPIs. These efforts aim to enhance the company’s safety management system and uphold a zero-accident record at construction sites.

SK D&D has established behavioral guidelines to prevent potential accidents at its project sites. In the event of an emergency, the company aims to respond swiftly to manage the incident, prevent human casualties and environmental pollution, and minimize both direct and indirect losses to the site and the company. The company has also developed site-specific emergency response training plans. To ensure readiness, emergency drills and training sessions are conducted at least once every six months. The implementation of these activities is reviewed biannually by senior management, including those responsible for safety.

To minimize health and safety risks for residents of Episode, SK D&D's rental housing brand, the company works with a professional facilities management (FM) firm to conduct regular inspections and manage safety risks related to infrastructure, electrical systems, fire protection systems, and mechanical equipment. Accident response procedures have been established, and mock drills are conducted to prepare for unexpected incidents and minimize potential damage. Furthermore, SK D&D has taken out natural disaster insurance to further reduce health and safety risks for its customers.

In 2022, SK D&D became the first company in its industry to introduce a dedicated Safety Supervision System. By 2024, a total of five safety supervisors had been deployed to active project sites. The company has also enhanced its project contracting process by applying eligibility criteria for selecting qualified contractors and by implementing technical safety guidance throughout the entire project lifecycle—from planning and design to construction—to ensure proactive safety and health management. Furthermore, SK D&D conducts quarterly safety competency assessments of its business partners to identify potential hazards. For sites with insufficient safety practices, necessary corrective actions are communicated and promptly implemented. Key findings from these assessments are actively reflected in subsequent safety inspection plans and leveraged to reinforce the company’s supply chain safety management system. As of December 2024, SK D&D carried out safety competency assessments across five ongoing development projects, identifying 221 areas for improvement—all of which have been successfully addressed.

As an advanced developer, SK D&D establishes and implements project management guidelines for client-side project oversight to fulfill its duties and responsibilities. During the bidding phase, evaluation criteria based on project scale are applied, and the ability to implement measures for preventing major accidents and ensuring safety and health is assessed. Only contractors who meet these criteria are selected. Accordingly, SK D&D proactively prepares to prevent safety and health risks that may arise during construction and aims to avert industrial accidents at the site in advance.

As the project owner, SK D&D strengthens its supervisory role to ensure safe worksites and prevent serious industrial accidents by conducting both regular and ad hoc inspections of on-site safety management practices. The Safety, Health, and Environment (SHE) department and the Chief Safety Officer (CSO) personally visit project sites to conduct safety inspections and deliver training on safety supervision, thereby fulfilling the company’s responsibilities for occupational safety and health as a project client. Additionally, SK D&D designates third-party professional institutions to provide regular safety and health consulting, ensuring the effectiveness of safety management on the ground.

On-site safety supervisors carry out compliance checks based on the construction safety and health log, as well as scheduled and unscheduled safety inspections—including intensified checks during high-risk periods. They also perform risk assessments and establish mitigation measures for identified hazardous and harmful factors. For tasks classified as high-risk, work is suspended and corrective actions are taken to systematically eliminate potential dangers. SK D&D also engages with workers by collecting their input through the Safety and Health Council (a labor-management consultative body), thereby taking the lead in building safer worksites.

All safety hazards identified during on-site inspections are promptly verified through formal risk assessments, and corresponding improvement plans are established and carried out without delay.

SK D&D has established and operates SHE reward and disciplinary management guidelines to recognize outstanding organizational and individual achievements and to clearly assign responsibility for compliance with SHE standards. Through this system, SK D&D aims to motivate employees to achieve safety and health performance and to foster a culture that strictly adheres to SHE standards and procedures.

To improve and supervise site safety inspections and non-compliance issues, SK D&D voluntarily deploys safety supervisors at each site. Through on-site safety supervision, communication channels are actively operated to gather feedback from the field. Additionally, quarterly regular safety supervision meetings are held to address grievances from sites and suppliers, collect opinions, and share outstanding improvement cases.