"Indiscriminate Expansion of Worker, Employer, and Union Scope"
"Malicious Law That Fundamentally Blocks Illegal Strike Damage Claims"
Lee Dong-geun, Executive Vice President of the Korea Employers Federation, is delivering opening remarks at an urgent press conference opposing the amendment of the Labor Union Act held on the 25th at the Federation Hall in Mapo-gu, Seoul.
The Korea Employers Federation (KEF) has strongly demanded the suspension of the legislative process for the amendment to the Labor Union Act, commonly known as the 'Yellow Envelope Act.' They argue that if the amendment passes, the scope of workers, employers, and labor unions will be indiscriminately expanded, undermining the foundation of labor-management relations and endangering the national economy.
On the 25th, KEF held an emergency press conference opposing the amendment to the Labor Union Act at the KEF headquarters in Mapo-gu, Seoul. They urgently opposed the ruling party and opposition parties, including the Democratic Party, who on the 20th unilaterally submitted the amendment to the National Assembly's Environment and Labor Committee and attempted to process the bill.
In his opening remarks, Lee Dong-geun, KEF's full-time vice chairman, stated, "The amendment to the Labor Union Act proposed by the opposition parties indiscriminately expands the scope of workers, employers, and labor unions, rendering the Labor Union Act ineffective and undermining the foundation of labor-management relations." He pointed out, "According to the amendment, even those who are not workers can join labor unions, and anyone who joins a labor union will be presumed to be a worker, which is an absurd outcome."
He continued, "If the amendment is realized, everyone, including the self-employed, will be able to organize labor unions and demand negotiations and strikes on almost any agenda with their desired counterpart, turning South Korea into a true labor union republic and strike republic." He criticized, "Especially since there are multiple criminal penalties against employers under the Labor Union Act, if the concept of employers is infinitely expanded, it will turn our businesspeople into potential criminals and severely restrict business activities."
He also expressed concerns that foreign companies investing in domestic firms would turn away. He explained that if it becomes unclear which labor unions and collective bargaining they must engage with, and if refusal to bargain leads to criminal penalties, they will leave the domestic market. He said, "The amendment denies the substance of contracts under civil law by unconditionally defining the original contractor as the employer in cases of in-house subcontracting, thereby rendering our legal system ineffective." He warned, "If original contractors are constantly pressured for collective bargaining and industrial actions, they may sever ties with domestic partner companies or relocate overseas, ultimately causing workers at partner companies to lose their jobs."
Vice Chairman Lee also viewed that the amendment would fundamentally block companies from claiming damages for illegal industrial actions. He pointed out that this is a bill unprecedented worldwide, infringing on constitutional property rights and contradicting civil law principles of damages.
He said, "According to a recent survey by the Ministry of Employment and Labor, 98.6% of the total amount awarded in damage claims against labor unions and union members was due to occupation of workplaces by force causing damage, which has nothing to do with legitimate union activities." He argued, "In an industrial environment where violent and destructive acts by militant unions and workplace occupations frequently occur, if damage claims are fundamentally blocked, industrial sites will become havens for illegal union activities and lawlessness will prevail."
He added, "The amendment to the Labor Union Act not only leads to the collapse of labor-management relations but also shakes the basic principles of the Constitution and Civil Code, and even the legal framework of labor relations that we have built over decades, threatening jobs for all workers and future generations." He emphasized, "We strongly urge the National Assembly to immediately halt the legislative push for the amendment to the Labor Union Act."
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