Partial Lifting of Headquarters Occupation Fails to Ease Negotiations
Conflict Over Compensation Lawsuit Remains Unresolved
Heated Debate Over Compensation Amount
Police Summon Cargo Solidarity Union Members for Appearance
On the 18th, the third day of the protest by the Cargo Solidarity of the Korean Public Service and Transport Workers' Union (KPTU) occupying the Hite Jinro headquarters in Gangnam-gu, Seoul, a banner with their demands was hung on the building's exterior wall. Workers are staging a high-altitude sit-in on the rooftop billboard. Photo by Moon Honam munonam@
[Asia Economy Reporter Song Seung-yoon] Negotiations between HiteJinro and the Cargo Solidarity of the Korean Public Service and Transport Workers' Union under the Korean Confederation of Trade Unions are facing difficulties over transportation fee increases and withdrawal of damage compensation lawsuits. Although the Cargo Solidarity partially lifted its occupation of the HiteJinro headquarters lobby and rooftop to engage in talks, the clear differences in positions between the two sides have resulted in little progress.
According to industry sources on the 26th, HiteJinro, its entrusted cargo transport company Suyang Logistics, and the Cargo Solidarity held their second negotiation following the partial lifting of the headquarters occupation the previous day but ended without reaching an agreement. Until now, only executives such as the executive director and managing director of Suyang Logistics and the Cargo Solidarity leadership had attended the negotiations, but since the 24th, the logistics team leader of HiteJinro headquarters has participated as an observer. The CEO of Suyang Logistics also directly participates as a negotiation party.
Earlier, union members belonging to the Cargo Solidarity who had occupied and protested at the HiteJinro headquarters in Cheongdam-dong, Gangnam-gu, Seoul since the 16th of this month lifted their lobby protest on the 24th after nine days. The high-altitude protest continuing on the rooftop with banners remains ongoing.
They are demanding an increase in transportation fees, reinstatement of unions whose contracts were terminated, and withdrawal of damage compensation lawsuits and injunctions for obstruction of business filed against union members. The Cargo Solidarity has insisted that since Suyang Logistics is a 100% subsidiary of HiteJinro, HiteJinro should actively engage in resolving the issues. However, HiteJinro has maintained the position that under the Subcontracting Act, the headquarters cannot directly intervene in employment matters. Nevertheless, the participation in the recent negotiations appears to have led to a slight retreat from their original stance.
On the other hand, tensions remain. On the 17th of this month, HiteJinro filed a complaint with the Gangnam Police Station in Seoul against Cargo Solidarity union members occupying the headquarters on charges including obstruction of business, special trespassing and refusal to vacate, attempted arson of a building, and violation of the Assembly and Demonstration Act. The next day, the complainant was questioned. With the police summoning appearances, the union side is also preparing for defendant investigations.
The Cargo Solidarity of the Korean Public Service and Transport Workers' Union, affiliated with the Korean Confederation of Trade Unions, held a rally on the 18th in front of the Hite Jinro headquarters in Gangnam-gu, Seoul, urging the withdrawal of mass layoffs and damage compensation lawsuits by Hite Jinro. Participants in the rally are encouraging their colleagues who are protesting on the rooftop. Photo by Moon Honam munonam@
On the 29th of last month, HiteJinro also filed additional damage compensation lawsuits against 14 Cargo Solidarity union members. As a result, the number of defendants in damage compensation lawsuits filed by the company has increased from the original 11 to a total of 25. In June, HiteJinro had filed a damage compensation lawsuit worth approximately 2.77 billion KRW against 11 union members, citing losses due to delayed product shipments caused by the Cargo Solidarity strike. A HiteJinro official stated, "In addition to the existing 11 defendants, we have secured personal information of 14 new individuals and filed lawsuits. We plan to request concurrent trials from the court."
The Cargo Solidarity strongly opposes HiteJinro's legal actions. The union issued a statement the previous day saying, "The amount of damage compensation claimed by HiteJinro against striking cargo workers has increased tenfold from the initial claim to 5,551,097,830 KRW for 25 people," and demanded, "Stop the labor oppression aimed at breaking the union by pressuring and dividing union members through tens of billions of won in unbearable damage compensation and provisional seizures immediately."
HiteJinro also released an explanatory statement the previous day, saying, "The damage compensation lawsuit relates to illegal acts at the factory in July and has nothing to do with the negotiation situation after our company was illegally occupied," and added, "Due to the prolonged illegal protest, the damage amount increased from about 570 million KRW to 2.77 billion KRW, and as we secured personal information of 14 additional illegal actors, the damage compensation claim amount was changed to about 2.77 billion KRW."
They continued, "Since we could not add 14 people to the existing lawsuit defendants, we filed a separate lawsuit claiming the same damages against the new 14 individuals," and clarified, "In other words, the 2.77 billion KRW is claimed from 25 people, and the damage amounts of the two lawsuits are not combined."
HiteJinro also added, "Yesterday, Suyang Logistics and our company proposed to the Cargo Solidarity that the number of personnel subject to contract termination is seven," noting, "This is about half of the previously proposed 12 people."
The conflict between the two sides has continued for five months. About 130 truck owners affiliated with Suyang Logistics, HiteJinro's entrusted cargo transport company, joined the Cargo Solidarity under the Korean Confederation of Trade Unions at the end of March and began partial strikes, escalating to a full strike in June. They held rallies at the Icheon and Cheongju factories and started occupying the headquarters from the 16th.
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