- 248 out of 2,001 inspected gyms failed to comply -
- Fitness training businesses to be added to the price display regulation in the first half of the year -
The Korea Fair Trade Commission (Chairman Han Ki-Jeong, hereinafter referred to as the "FTC") conducted an inspection on compliance with the price display regulation at fitness centers (gyms) located in the Seoul metropolitan area and major cities and provinces. This inspection, carried out in collaboration with consumer organizations since 2022, aimed to assess adherence to the regulation and promote awareness. The FTC has now announced the results.
Under the Important Labeling and Advertising Notice (revised on December 27, 2021), which is a subordinate regulation of the Act on Fair Labeling and Advertising, operators of fitness centers, swimming pools, and general sports facilities are required to display information about service content, pricing structures, and refund policies both on business premises and customer registration forms.
The 2024 inspection focused exclusively on gyms, as their past compliance rates were relatively low. The inspection coverage was expanded to include additional regions such as Gyeonggi, Gyeongnam, and Jeonnam. During the inspection process, the FTC also distributed informational materials regarding the price display regulation to individual businesses, local governments, gym franchisors, and related associations to raise awareness among business operators.
The consumer organization-led inspection involved visiting a total of 2,001 gyms to check for compliance. For businesses found non-compliant, recommendations were provided to encourage adherence to the regulation. While the majority of gyms complied, 248 businesses failed to implement the regulation. This indicates that a significant number of gym operators are still unaware of their obligation to display essential pricing and service information.
The FTC plans to follow up by directly verifying whether non-compliant gyms have implemented the regulation and will continue to encourage compliance. If necessary, additional measures such as fines will be considered.
Additionally, in the first half of the year, the FTC will amend the Important Labeling and Advertising Notice to include fitness training businesses under the price display regulation. This decision follows an increase in consumer complaints related to mid-contract cancellations and refund issues in this sector. The FTC also plans to conduct an inspection this year, which will include fitness training businesses.
Furthermore, the FTC will strengthen promotional and educational efforts to ensure that gym franchisors and local government officials can directly educate and guide gym operators on compliance with the price display regulation.