Labor Trends

1. Gradual increase in unionization rate since the introduction of multiple unions system

As of the end of 2012, unionization rate reached 10.3% (0.2% increase over the previous year). The number of union members totaled 1.78 million, an increase of 60,000 over the previous year. Membership in the FKTU (Federation of Korean Trade Unions) and the KCTU (Korea Confederation of Trade Unions) has increased while the KLUC (Korean Labor Union Confederation) has declined in membership.

[Table 1] Membership comparison by umbrella union

Members from large trade unions (more than 1000 members) comprise the majority of trade union memberships. As of 2012, the total membership of the large trade unions accounted for 1.28 million (72.4%) while that of small trade unions (less than 50 members) totaled 42,000 (2.4%). This suggests that the labor movement in Korea is still being led by trade unions of large companies.


2. FKTU activities for the 2nd half of 2013 ahead of leadership election

During the 2nd half of 2013, the FKTU plans to focus on activities related to ▲revision of the Trade Union Act (time-off and multiple unions system), ▲ reduction of working hours, ▲ restriction of lay-offs,  ▲ strengthening the conditions for lockout, ▲ reduction in the number of non-regular workers and discrimination.
Mr. Jin-kook Moon (current President of the FKTU) plans to win re-election in January next year, taking advantage of some results in the regular session of the National Assembly. However, discordance with affiliated unions still remains a challenge for Mr. Moon, who has an ongoing conflict with the Korean Automobile & Transport Workers’ Federation surrounding introduction of the ‘Taxi Law’ as well as ongoing disputes with the Korean Financial Industry Union, the Federation of Korean Metalworkers’ Trade Unions, and the Federation of Korean Public Industry Trade Unions over the political strategy concerning the tripartite agreement to achieve a 70% employment rate.


3. KCTU gearing up for political strife responding to parliamentary inspection and regular session of the National Assembly

As the KCTU is taking an action against the government, labor relations are expected to deteriorate. The KCTU held a rally on Oct 15 strongly criticizing the government for its labor policy towards the public sector (the government has rejected the Report of Establishment of the Korean Teachers & Education Workers’ Union, demanding a revision of its bylaws). This action by the government has brought 21 progressive civic groups together, including the National Movement for Economic Democratization and Power of the People, to join the KCTU in its rallies against the government.

[Table 2] KCTU plans against the government

Confusion is expected in workplaces as the KCTU and progressive civic groups plan to resolve their labor issues by holding a series of large-scale outdoor strikes during the parliamentary inspection period.

In addition, the KCTU has finalized its evaluation of the 2nd unionization plan and established the 3rd plan. As its union membership has declined, the KCTU is seeking to attract non-regular workers and in-house subcontract workers. KCTU membership has continued to decline since 2007; 2007 (680,000) → 2008(650,000) → 2009(588,000) → 2010(580,000) → 2011(560,000).