"Government, Stop Insisting on Unrealistic Employment Stability Measures Led by KDB and Engage in Dialogue"
As the court's decision on Korean Air's acquisition of Asiana Airlines approaches, on the 30th, Korean Air and Asiana Airlines passenger planes were moving toward the runway at Gimpo Airport apron in Gangseo-gu, Seoul. The Seoul Central District Court is expected to deliver a ruling today or tomorrow on the injunction request filed by activist private equity fund KCGI against Hanjin KAL to prohibit the issuance of new shares. If the court dismisses the injunction request, the acquisition process will accelerate, but if the injunction is granted, the acquisition is likely to be canceled. Photo by Kim Hyun-min kimhyun81@
[Asia Economy Reporter Yu Je-hoon] On the 3rd, four labor unions affiliated with Korean Air and Asiana Airlines expressed "deep regret" over the third-party allotment paid-in capital increase by Hanjin KAL, which has intensified Korean Air's acquisition of Asiana Airlines, and urged the formation and discussion of a tripartite labor-management-government council.
The Joint Countermeasure Committee of Korean Air and Asiana Airlines Labor Unions (JCC) released a statement saying, "The problem of Asiana Airlines stems from poor management due to owner risk, with no one taking responsibility, while the main creditor, the Korea Development Bank, is instead granting special favors."
The JCC first addressed the Korea Development Bank's repeated mentions of employment retention plans after the merger, stating, "We have officially proposed the formation of a tripartite labor-management-government council several times, but neither the government nor the Korea Development Bank has responded, focusing only on shaping public opinion. Responsible government officials and representatives of the acquiring company must come forward to discuss employment stability measures related to the merger with the workers."
The JCC also said, "It is the government's role to listen to the voices of the people, but thoroughly ignoring the workers, who are the parties involved, is an act of evading responsibility," and urged, "The government should stop pushing unrealistic employment stability measures through the Korea Development Bank and engage in substantive discussions within the tripartite labor-management-government consultation framework."
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