MADEIN’s Agency Accused of Unpaid Staff Wages Following Sexual Harassment Controversy

Controversy surrounds MADEIN’s agency after allegations emerged that the company has failed to pay music video production fees and staff wages.

143 Entertainment continues to receive backlash from K-pop fans for their shady practices and sexual harassment controversy since last month. 

In late November, JTBC’s Scandal Supervisor accused the agency’s CEO of sexually harassing former MADEIN member, Gaeun. 

According to the report, the CEO abused his authority and asked the 19-year-old K-pop star to pretend to be his girlfriend for a day in order to keep her spot in the group.

On November 29, Gaeun officially and permanently left MADEIN, however, things did not stop there. After the sexual harassment allegations surfaced, fans were worried about the remaining six young members under the supervision of an alleged predator.

On December 1, Yeseo made fans concerned by liking several posts, taking a dig at the agency, and supporting the OT7 lineup.

A livestream of another member Mashiro was uploaded on December 13, originally filmed on October 27. Fans were worried after seeing multiple visible bruises, probably as a result of choreographies. 

Adding fuel to the fire was an article published by Hanbit Media Labor Rights Center on December 28. While an agency’s name was not explicitly mentioned, the timeline and description match 143 Entertainment.

According to the report, Company A (presumably 143 Entertainment) hired a production company, Company H, to create a music video for one of its idols. The video was released on September 3rd (MADEIN’s debut date), but despite completing the project, Company A still has not paid the remaining balance owed to Company H – over three months later. 

To make matters worse, around 40 staff members who worked on the music video are still waiting to be paid their wages, totaling tens of millions of won.

Filming began at 7 AM on August 12 and did not wrap up until 6:40 AM the next day. Just two days later, the crew was back at it, filming from 3 AM to 9 PM on August 14. The grueling schedule lasted weeks, with overnight shoots becoming the norm until post-production was finally complete.

Company A is withholding payment, claiming they lost money due to issues with the music video’s final product. When the MADEIN’s title track was released on September 3, it was criticized for excessive use of AI.

However, they had previously asked Company H to create an edited version, “Natural Ver.,” which was delivered in just 4 days. Now, Company A claims this extra work was unspecified in the contract and is trying to use it as a reason to reduce the payment.

An official from Company A told Hanbit that negotiations with Company H to share risks related to contract breaches and quality issues failed. However, when asked if the contract justified their demands for payment adjustments, the executive admitted that these terms were not specified in the contract.

They suggested that the matter should be settled in court, while also claiming that Company H was in breach of contract. Notably, Company A is demanding to share losses due to quality issues, but has no intention of sharing profits if the results are good.

Company A’s CEO intimidated staff demanding a resolution of unpaid wages, claiming they had no legal connection to the issue. When staff posted about the dispute in a group chat, Company A threatened to file a defamation complaint and denied any responsibility due to their contract with Company H.

Despite Company H being legally obligated to pay wages, the real issue lies with Company A’s baseless demands to reduce payment by 25% of the total production cost. Company A is engaging in unfair business practices by making such demands and refusing to pay after services were provided.

Hanbit also pointed out that the agency was embroiled in a sexual harassment controversy in November. It appears that 143 Entertainment’s business practices align with the description provided.

On another note, fans are concerned about the well-being of MADEIN members and want them to leave the agency.

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