"Amendment to the Labor Union Act: Legislative Improvements Needed to Balance Power Between Labor and Management"

KEF and Assemblyman Hong Seok-jun Hold 'Discussion on Legal and Institutional Improvement Measures for Establishing Advanced Labor-Management Relations'

[Asia Economy Reporter Sung Ki-ho] As the government and the ruling party push for the ratification of the International Labour Organization (ILO) core conventions within the year by promoting the 'Trade Union Act (Trade Union and Labour Relations Adjustment Act) Amendment Bill' that allows dismissed and unemployed workers to join labor unions, calls have been made for legislation to balance the power between labor and management. Additionally, claims were made that the current unfair labor practice system, which stipulates penalties for employers, is unconstitutional.

The Korea Employers Federation (KEF) held a 'Discussion on Legal and Institutional Improvement Measures for Establishing Advanced Labor-Management Relations' on the 23rd. The discussion was hosted by Assemblyman Hong Seok-jun of the People Power Party and organized by KEF, and was conducted as an online forum without an audience to comply with social distancing measures.

Kim Yong-geun, KEF's Executive Vice President, emphasized in his opening remarks that “the criminal penalties for unfair labor practices imposed solely on employers should be deleted, and unfair labor practices by labor unions should also be stipulated.” He added, “Through this, a harmonious balance of power between labor and management should be achieved, fostering a cooperative and balanced advanced labor-management relationship where both sides can win-win.”

Earlier, the government submitted an amendment to the Trade Union Act to the National Assembly in June to ratify the ILO 'Freedom of Association' Conventions (No. 87 and No. 98). The main points of the amendment include ▲allowing dismissed and unemployed workers to join enterprise-level unions ▲prohibiting strike actions that occupy production and major work facilities ▲deleting the provision banning salary payments to full-time union officials ▲extending the validity period of collective agreements from 2 years to 3 years, among others.

Concerns about government policy were raised in the subsequent presentations. Professor Kim Hee-sung, in his presentation on 'Directions for Improving the Right to Collective Action System,' stated, “While the purpose of the government's Trade Union Act amendment bill submitted for ratifying the ILO core conventions is understandable, the ripple effects of the amendment and the absence of domestic supplementary measures are expected to cause side effects. Therefore, not only a comparison of legal systems but also social and economic impacts should be carefully reviewed.” He pointed out, “As supplementary legislative measures for the Trade Union Act amendment, legislative improvements such as deleting the prohibition on replacement labor, banning strike actions involving workplace occupation, clarifying the requirements for workplace lockouts, and deleting provisions allowing union shops are necessary. Through these, it is essential to balance the power between labor and management.”

He particularly emphasized, “The current prohibition on replacement labor violates the constitutional principle of excessive prohibition and the principle of proportionality, so it must be amended.”

Professor Lee Seung-gil, in his presentation on 'Directions for Improving the Unfair Labor Practice System,' analyzed that “the government's labor policies are causes of worsening employment and growth rates,” and especially pointed out that “in industrial sites, there are many cases where labor unions abuse unfair labor practice issues and file complaints and accusations as a means of pressuring employers, even in situations of legitimate disciplinary actions, routine labor management, and collective bargaining.”

He also proposed, “Compared internationally, countries like the United States and Japan, which have unfair labor practice systems, do not have criminal penalty provisions. Therefore, South Korea should delete the penalty provisions accordingly and establish an unfair labor practice system for labor unions to enable equality between labor and management.”

In response, Professor Kim additionally pointed out that “imposing criminal penalties beyond restoration for unfair labor practices raises issues in the legal system, disharmony with the purpose of the system, excessive punishment, and the risk of unconstitutionality due to double punishment.”

In the following discussion, Professor Kim Tae-gi of Dankook University chaired the session, with participation from Professor Lee Jung of Hankuk University of Foreign Studies, Choi Jong-seok, Director of the Good Workplace Research Institute, Yoo Jung-yeop, Head of Policy Division 2 of the Korean Confederation of Trade Unions, Kim Su-jin, Director of Labor-Management Relations Legislation Division at the Ministry of Employment and Labor, and Jang Jeong-woo, Head of Labor Policy Division at KEF, who presented diverse opinions on measures to establish advanced labor-management relations.