Coupang Contract Terminated for Exposing COVID-19 Prevention Issues... Court Rules "Unfair Dismissal"

"Demanding Improvement of Working Conditions is a Legitimate Activity"
"Refusal to Renew Contract Without Reasonable Cause"

Workers who were dismissed for exposing Coupang's quarantine practices during the COVID-19 pandemic won the first trial in a lawsuit seeking nullification of their dismissal. This result came four years after the lawsuit was filed.

According to the legal community on the 14th, the Seoul Eastern District Court Civil Division 15 (Presiding Judge Jo Yong-rae) ruled in favor of the plaintiffs, Kang Min-jeong (53) and Go Geon (46), in a lawsuit against Coupang's logistics subsidiary, Coupang Fulfillment Service, seeking confirmation of the invalidity of their dismissal.

Coupang Bucheon Logistics Center Photo by Yonhap News

The court stated, "Coupang's quarantine measures were insufficient given the circumstances at the logistics center," and judged that "their demands at the press conference (such as an apology from the company) were within the scope of legitimate activities aimed at maintaining and improving working conditions and enhancing workers' status."

Furthermore, based on the above-average evaluation scores received by the two workers from the company, the court pointed out that "despite the recognition of a legitimate expectation that their employment contracts would be renewed, Coupang unreasonably refused to renew the contracts." Typically, contracts are not renewed if the score is below 70, but the two workers had evaluation scores of 88 or higher.

Previously, in May 2021, at the Bucheon City Coupang logistics center, a total of 152 people, including 84 workers, their families, and related parties, were collectively infected with COVID-19. At that time, Kang and Go, who were contract workers at the center, formed a 'Victims Workers' Group' and demanded countermeasures from Coupang through press conferences and media interviews. Coupang notified them on July 31 of the same year that their employment contracts would not be renewed, citing reasons such as spreading false information.

Subsequently, the two filed lawsuits seeking nullification of their dismissal and damages for violations of the Labor Standards Act. However, the court did not accept the claim for damages.