Purchasing Smart Safety Equipment with Occupational Safety & Health Management Cost — 100% Recognition in 2026: Everything You Need to Know Before You Buy

Since the enforcement of the Serious Accidents Punishment Act, deploying smart safety equipment at construction and manufacturing worksites is no longer optional. However, accurate information about how to account for those costs, which equipment qualifies, and how to access government support is scattered and hard to find. This guide consolidates the key standards every safety officer must know ahead of the 100% OSHMC recognition for smart safety equipment that takes effect on January 1, 2026.

1. What Is Occupational Safety & Health Management Cost (OSHMC)?

Occupational safety & health management cost is a mandatory budget item under Article 72 of the Occupational Safety and Health Act. Construction project owners are required to set it aside at a fixed percentage of the total project value and use it exclusively for safety and health management. Permitted uses include safety manager salaries, installation of safety facilities, protective equipment, health screenings and emergency equipment, safety and health training, and smart safety equipment.

Under Ministry of Employment and Labor Notice No. 2024-53, effective January 1, 2025, the applicable rates by project type and scale were raised by an average of approximately 19%, and unit-price contract projects with a total contract value of KRW 20 million or more are now uniformly subject to the requirement.

2. Smart Safety Equipment Recognition Rates — 40% (2024) → 70% (2025) → 100% (2026)

The percentage of smart safety equipment purchase and lease costs that may be counted toward OSHMC has been raised in stages.

• Before August 2023: only 20% of purchase/lease costs eligible
• August 2023 – end of 2024: expanded to 40%
• January 1, 2025 onward: expanded to 70% (Notice No. 2024-53, Supplementary Provisions Article 2)
• January 1, 2026 onward: expanded to 100% (Notice No. 2024-53, Supplementary Provisions Article 3)

Important: The applicable rate is determined by the contract execution date, not the project start date. A contract signed in December 2025 with construction beginning in 2026 is subject to the 70% rate; the 100% rate applies only to contracts executed on or after January 1, 2026.

A "70% recognition rate" means 70% of the equipment purchase or lease amount may be charged to the OSHMC line item. For example, if you purchase an AI CCTV system for KRW 10 million, you may deduct KRW 7 million from OSHMC in 2025 — and the full KRW 10 million in 2026.

3. OSHMC Spending Cap for Smart Safety Equipment — 20%

Even with a 100% recognition rate, there is no unlimited spending allowance. Under Notice No. 2025-11 (effective February 12, 2025), the spending cap for smart safety equipment was raised from 10% to 20% of total OSHMC.

This means: if the total OSHMC for a given project is KRW 100 million, no more than KRW 20 million of that may be spent on smart safety equipment. Budget planning should begin with this cap and work backward to prioritize equipment selections.

4. OSHMC-Eligible Smart Safety Equipment — Seven Major Categories

The ministry notice annex defines seven major categories of recognized smart safety equipment.

Category 1: Integrated Construction Safety Management Systems

• Safety management systems — server-based (on-premises) and mobile

Category 2: Hazard Monitoring Equipment

• AI CCTV — fixed and mobile
• Standard CCTV + analytics software
• Drone-based safety monitoring equipment
• Wearable cameras

Category 3: Work Hazard Alert & Notification Equipment

• Hazardous-zone proximity alarm equipment (including BLE beacon-based real-time location tracking)
• Fire hazard detection and alarm equipment
• Toxic gas detection and alarm equipment

Category 4: Structural Hazard Alert & Notification Equipment

• Collapse and displacement hazard alarm equipment
• Concrete curing monitoring equipment

Category 5: Equipment Hazard Alert & Notification Devices

• Remote wire inspection equipment
• Construction machinery proximity detection equipment
• Tower crane anti-collision equipment

Category 6: Worker Safety Management Equipment

• Smart chin straps, communication vests, smart hard hats, smart safety hooks
• Smart bands (wearables), safety tags
• Airbag vests
• Access control equipment (systems)

Category 7: Smart Safety Training Systems

• Smart TBM (Tool Box Meeting) systems
• Risk assessment systems
• On-site safety incident reporting systems

Practical tip: An integrated platform like SenseZero — combining wearables, BLE beacons, and AI risk prediction — falls under categories 1 (integrated management), 2 (monitoring), 3 (proximity alarms), and 6 (worker equipment), providing a broad basis for OSHMC classification.

5. Items That Are Not Eligible

The following cannot be charged to OSHMC:

• Items already included in the construction contract bill of quantities (no double-counting)
• Items mandated as obligations under other laws and regulations
• Items serving non-safety purposes such as welfare benefits, environmental management, or traffic control

6. A Separate Track — KOSHA Safe Workplace Support Program (Direct Subsidies)

Separate from construction OSHMC, small and mid-sized businesses may apply for direct grants through the Korea Occupational Safety and Health Agency (KOSHA).

• Eligibility: Workplaces with fewer than 50 full-time employees; businesses below the small enterprise size threshold; subcontractors with a mutual cooperation agreement. Direct applications from construction sites are not accepted (construction company head offices may apply).
• Base support: up to KRW 30 million per workplace (80% subsidy on the amount assessed by KOSHA)
• Additional support: up to KRW 10 million each for employment growth, certified risk assessment, designation as a strong SME, or high-risk industry classification → maximum of KRW 40 million
• Eligible items: 37 designated categories (30 safety + 7 health) plus self-nominated items
• Advance payment: 70% of the approved amount disbursed upfront
• Application: clean.kosha.or.kr (joint application by the recipient company and equipment supplier)

Applications for the 2026 program are expected to open in late December 2025. Whether OSHMC and KOSHA subsidies may be used simultaneously must be confirmed on a case-by-case basis.

7. Pre-Purchase Checklist for Safety Officers

1. Confirm the contract execution date — 100% applies to contracts executed on or after January 1, 2026; 70% applies to earlier contracts.
2. Calculate total OSHMC — Multiply total project value by the applicable rate for the project type and scale; 20% of that total is the smart safety equipment ceiling.
3. Prioritize equipment — Among the seven categories, start with equipment that addresses your worksite's primary hazards (e.g., fall risk → smart safety hooks and proximity alarms; collision risk → AI CCTV and heavy machinery proximity detection).
4. Prepare supporting documentation — Tax invoices, itemized usage records, OSHMC utilization plan, and evidence of safety management activities; organize these so they can be submitted together during inspector reviews.
5. Small businesses should explore concurrent KOSHA funding — If a head-office application is possible, OSHMC and the grant may be used together.
6. Check for overlap with the contract bill of quantities — Items already included in the construction contract cannot be double-charged to OSHMC.

8. Where Does SenseZero Fit?

SenseZero is an integrated industrial safety and health management platform combining wearables, BLE beacons, and AI risk prediction. It falls under the following categories above:

• Category 1 — Integrated Construction Safety Management System: unified management dashboard + mobile app
• Category 2 — Hazard Monitoring Equipment: AI risk prediction algorithm (advance notification of accident probability)
• Category 3 — Hazardous-Zone Proximity Alarm Equipment: real-time alerts for hazardous zone entry via BLE beacons and wearables
• Category 6 — Worker Safety Management Equipment: smart band (wearable) + safety tags + access control
• Category 7 — Smart Safety Training System: smart TBM and risk assessment system

SenseZero qualifies for 70% OSHMC recognition in 2025 and 100% in 2026. OSHMC line-item mapping and supporting documentation are provided as part of the deployment package.

Closing — Start Evaluating Now to Take Advantage of the 2026 100% Recognition Window

If you are considering deploying smart safety equipment, executing the contract on or after January 1, 2026 is the most advantageous timing. However, since procurement decisions, specification reviews, and pilot operations typically take 3–6 months, starting now is appropriate.

The OSHMC Detailed Guide page offers rate tables by project type and an FAQ; the Smart Safety Equipment Resource Center provides free downloads of the pre-purchase checklist and OSHMC utilization plan template.

For a scenario tailored to your specific worksite, request a free consultation via Demo / PoC.

References (Primary Sources)

• Ministry of Employment and Labor Notice No. 2024-53 (September 19, 2024) — Revision to Standards for Calculating and Using OSHMC in Construction
• Ministry of Employment and Labor Notice No. 2025-11 (February 12, 2025) — Raising the Smart Safety Equipment Spending Cap to 20%
• National Law Information Center — law.go.kr
• Ministry of Employment and Labor — moel.go.kr
• KOSHA Safe Workplace Support Program — clean.kosha.or.kr

This article was written based on information current as of May 2026. Regulations are subject to revision; please verify the latest notices at the time of purchase.

Instantly Check Whether Your Equipment Is OSHMC-Eligible

Look up specific items — safety shoes, body cameras, AEDs, smart safety equipment — to instantly confirm OSHMC eligibility and the relevant notice provisions.

→ Go to the OSHMC Item Lookup Service