Struggle to re-amend Trade Union Act starts in earnest
As the Ministry of Employment and Labor (MOEL) sticks to its principle of not accepting any re-amendment to the Trade Union and Labor Relations Adjustment Act (Trade Union Act), the two main umbrella unions have agreed to cooperate, issue by issue, in their struggle to re-amend the Act, and started to lobby the National Assembly, thereby putting pressure on the government. In a press conference held on April 29, labor circles and three opposition parties (Democratic Party, Democratic Labor Party and People’s Participation Party) announced that they would come up with an amendment to the Trade Union Act and start their struggle for its passage in earnest from June when the National Assembly is due to convene for its extraordinary session.
【 Table 1 】Main features of amendment pursued by labor circles and three opposition parties
| ① Allowing employers to pay wages, etc., to full-time union officials② Removing the provisions requiring multiple unions to establish a single bargaining channel and restricting their industrial action
③ Adopting a broader definition of employers (i.e. those who have actual control or influence) and allowing those in special types of employment and dismissed workers to establish and join a trade union and engage in union activities ④ Reducing the scope of examination conducted by administrative authorities in relation to the establishment of a trade union ⑤ Prohibiting employers from exercising the right to terminate collective agreements while bargaining is under way or if either of the parties continues to make bargaining efforts ⑥ Recognizing the legitimacy of industrial action taken to solve social and economic problems |
The Federation of Korean Trade Unions (FKTU) has said that the fact that the Democratic Party’s candidate supported by it won in the by-election on April 27 demonstrated its political clout. Sohn Hak-kyu, leader of the Democratic Party, attended FKTU’s May Day rally and promised that his party would do its best to address issues of concern to FKTU. FKTU now expects the Grand National Party to make active efforts to improve its relations with FKTU after the by-election. It plans to use political muscle to address its current issues, such as setting up a tripartite dialogue channel for the re-amendment of the Trade Union Act and tackling the issue of paying wages, etc., to union members dispatched to upper-level labor organizations.
Meanwhile, the Korean Confederation of Trade Unions (KCTU) is joining forces with progressive political parties, such as the Democratic Labor Party, to emerge as a political power in 2012. The leaders of KCTU, the Democratic Labor Party, and the New Progressive Party agreed to unite progressive political camps and create a new progressive party by September 2011. KCTU plans to place at the heart of its agenda the issue of non-regular workers in Ssangyong Motor, Hanjin Heavy Industries and Hyundai Motor. It will also focus on tackling the issue of workplaces involved in prolonged strikes, in cooperation with progressive political parties
Trade unions expected to begin full-fledged unionization activities in response to union pluralism
The two main umbrella unions, apart from their struggle to re-amend the Trade Union Act, are going to conduct unionization activities to cope with the implementation of the multiple unions system, which is expected to worsen unstable industrial relations in individual workplaces. Labor circles plan to conclude wage and collective bargaining in late June and July, thereby securing the representative status of existing trade unions, and start unionization activities in earnest from the second half of this year. Therefore, mediation requests and labor disputes would grow in June, and labor-labor conflicts as well as labor-management conflicts would intensify in the course of establishing new trade unions in the second half.
In response to the recognition of enterprise-level multiple unions, FKTU is going to take a ’consolidate first, unionize later’ approach. Based on its success in unionizing some hospital workplaces last year, FKTU is planning to bring into its organization not only trade unions affiliated with KCTU but also those that have not joined any upper-level organizations yet.
Meanwhile, with a view to expanding its organization after the implementation of the multiple unions system, KCTU is striving to maintain the vested rights of its existing member unions and to organize trade unions in non-unionized workplaces and occupational areas (research, sales and non-regular workers) which show a relatively low unionization rate. Above all, to protect the vested rights and bargaining rights of its existing member unions, if it fails to secure a majority of union members in a workplace, it will make every effort to conclude bargaining before the end of June. Moreover, to give symbolic meaning to unionization in the era of union pluralism, KCTU will concentrate its efforts on unionizing Samsung and POSCO and their suppliers.
Seoul Subway Union’s withdrawal from KCTU leads to launch of third umbrella union
With the implementation of the multiple unions system ahead, the New Hope Labor Alliance has tentatively named a third umbrella union “Federation of People’s Trade Unions (FPTU)” and started preparations for its establishment. FPTU is scheduled to be launched in June, of which the Korean Government Employees Union, the Public Enterprise Union, the Seoul Subway Union, the Hyundai Heavy Industries Union, KT Union and Hyunaid Mipo Dockyard Union will be main members. The establishment of FPTU is expected to materialize as the Seoul Subway Union approved its withdrawal from KCTU and the establishment of FPTU (52% members in favor) in a vote held between April 27 and 29.
After its establishment, FPTU will secure its status as a new umbrella union by joining the Economic and Social Development Commission (ESDC), and then spread its influence by participating in setting the government’s guidelines for public-sector wages. The government takes a positive view of the launch of FPTU in anticipation that it will provide a counterbalance to KCTU pursuing confrontational industrial relations and FKTU demanding the revision of the Trade Union Act.
However, the launch of a third umbrella union may give people from labor circles more opportunities to get into politics and increase various forms of cooperation between political and labor circles in the long term, which could pose a burden on business circles.
Minimum wage struggle kicks off
Labor circles appear to start their field struggle in 2011 with a minimum wage battle. FKTU plans to hold two joint rallies in June to form a solidarity front over minimum wages. On the other hand, KCTU is set to stage intensive protests during a fixed period and organize rallies and propaganda campaigns in front of the Korea Employers Federation (KEF) to win the minimum wage fight.
Meanwhile, labor circles announced their plan to hold intensive protests during a fixed period through industry-level unions, demanding the elimination of non-regular employment and legislative and institutional reforms, including the sweeping re-amendment of the Trade Union Act. KCTU will launch an all-out struggle, including a general strike, in late June and early July, through the Korean Metal Workers Union (KMWU), its main driving force. FKTU is considering staging a sit-in tent protest in front of the National Assembly and holding a rally led by its industry-level unions in June.
Tension expected to grow over wage and collective bargaining in metal sector
Bargaining with the Korea Metal Workers Union (KMWU) and Hyundai Motor’s union is emerging as a critical factor in stabilizing industrial relations in 2011. KMWU threatened to go on a general strike in late June and early July, demanding to raise the minimum wage to 150,611 won and guarantee its bargaining right after July 1.
Hyundai Motor’s union has recently finalized a list of demands it will make during wage and collective bargaining. It is set to begin bargaining in early June.
【 Table 2 】Demands of Hyundai Motor’s union during 2011 wage and collective bargaining
| ① Expanding the scope of employees eligible for union membership (assistant manager → deputy general manager) ② Raising the retirement age by two years (58 →60 years old) ③ Giving hiring preference to offsprings of its retirees and workers who have served for 25 years or longer. ④ Increasing basic wages by 8.76% to 150,611 won |
Hyundai Motor’s union is going to discuss matters relating to wage and collective agreements first and then deal with the issue of the time-off system. It is considering ways to include an increase in union dues in the wage increase so as to keep the number of paid full-time union officials at the current level (233 persons).