Yoon: "Reform Cannot Be Achieved Without Ensuring Union Accounting Transparency" (Update)

President Yoon Checks Submission Status of Union Accounting Books
More Than Half Refuse... Government "Will Conduct On-Site Investigations"

[Asia Economy Reporter Baek Kyunghwan] President Yoon Seok-yeol stated on the 17th that "Transparency in union accounting is the starting point for union reform." This came in response to more than half of labor unions refusing to submit their accounting books, emphasizing that "reform cannot be achieved without securing accounting transparency."

President Yoon made this remark after being briefed on the refusal of some unions to submit their accounting books during a morning senior secretaries meeting.

[Image source=Yonhap News]

According to data compiled by the Ministry of Employment and Labor the previous day, only 120 unions, accounting for 36.7% of the total targeted unions, properly submitted the requested materials by the government’s deadline of midnight the previous day. Among the remaining 207 unions, 54 unions (16.5%) did not submit any materials at all, and 153 unions (46.8%) submitted incomplete or inadequate materials.

Earlier, the government had instructed 334 unions and federations, including the two major labor federations, to report by the 15th whether they had fulfilled their obligations to maintain and preserve financial documents. Article 14 of the Labor Union Act states that "a union must prepare and keep at its office a list of members, bylaws, names and addresses of officers, meeting minutes, and financial books and documents within 30 days from the date of establishment of the union."

Accordingly, the Ministry of Employment and Labor decided to grant a two-week correction period starting from the 17th to unions that failed to properly submit the materials. However, if corrections are not made within this period, the ministry plans to initiate a fine imposition procedure as early as the 15th of next month. If unions neither submit materials nor provide explanations, on-site investigations will be conducted, and refusal or evasion of such investigations will also result in fines.

Currently, the Federation of Korean Trade Unions (FKTU) and the Korean Confederation of Trade Unions (KCTU) continue to oppose the government, claiming it infringes on union autonomy. On the 15th, KCTU Chairman Yang Kyung-soo held a meeting with the FKTU chairman and stated, "KCTU has issued internal guidelines stating that it will only confirm whether the materials are kept, and FKTU has issued similar guidelines."