Korea Chamber of Commerce welcomes labor dispute guidelines, urges consistent enforcement

The Korea Chamber of Commerce and Industry said Thursday that new government guidelines clarifying the scope of lawful labor disputes would help reduce confusion on the ground.

The Ministry of Employment and Labor issued the guidelines Thursday, drawing a line against two types of union demands: requiring that a fixed share of operating profit be paid out as performance bonuses, and opposing the construction of new factories outright. The ministry said neither qualifies as a subject for mandatory collective bargaining, mediation or industrial action.

However, the ministry added that if the opening of a new factory or the introduction of new technology objectively appears likely to bring changes to working conditions — such as restructuring, reassignment or shift-schedule changes — those matters could become subject to bargaining.

The chamber said it was significant that the guidelines established that demands for a set share of company profits as performance bonuses cannot be treated as grounds for strikes or other industrial action.

However, it expressed concern over the provision allowing working-condition changes to become bargaining subjects depending on circumstances. "Companies in the field worry that a broad application of this standard could disrupt investment and management," the chamber said.

The chamber stressed that the new standards must be upheld in actual labor-management disputes. "We hope discussions will also take place on institutional measures to ensure these standards remain firm," it said.