First Agenda Resolved Since Launch, Gyeongnam Social Integration Committee Welcomes Hanwha Ocean's Withdrawal of 47 Billion Won Damages Lawsuit

The Gyeongsangnam-do Social Integration Committee has welcomed Hanwha Ocean's decision to withdraw its 47 billion won damages lawsuit against five workers from the Shipbuilding Subcontractor Branch.

On the 29th, the Gyeongnam Social Integration Committee held a press conference at the Gyeongnam Provincial Government Press Center and stated, "We deeply welcome Hanwha Ocean's decision to withdraw the damages lawsuit worth 47 billion won."

The Gyeongnam Social Integration Committee is holding a press conference welcoming Hanwha Ocean's decision to withdraw the lawsuit claiming damages worth 47 billion won. Photo by Lee Seryung

The Social Integration Committee further emphasized, "This decision goes beyond the mere cancellation of a legal action; it is a far-reaching judgment that fundamentally reconsiders how our society resolves conflicts and the social responsibilities of both companies and workers."

They also stated, "This is not simply the end of a lawsuit, but a new starting point that can generate more than 47 billion won in social and economic value."

They continued, "Past conflicts should not hinder future cooperation," and suggested, "Now is the time for workers, along with the company that has withdrawn the lawsuit, to break away from old practices and take a step forward in fulfilling their social responsibilities."

They stressed, "While workers' legitimate rights must be respected, the methods must be mature. We must resolve conflicts through dialogue, compromise, and mutual respect, and create a foundation for cooperation within a framework of coexistence. This is the true path to labor-management coexistence and a responsible attitude toward the local community."

They reiterated, "Above all, what matters most is ensuring that such conflicts are not repeated."

The Social Integration Committee stated, "Our Gyeongnam Social Integration Committee will do its utmost to establish a mature culture that prevents and mediates problems in advance and resolves them through dialogue, rather than engaging in wasteful conflict."

They added, "We hope this case becomes a model for labor-management relations in our region, and we will work together so that workers, companies, and the local community can all take a leap forward toward coexistence, growth, and hope in Gyeongnam."

Previously, the Metalworkers' Union Geoje-Tongyeong-Goseong Shipbuilding Subcontractor Branch staged a sit-in and strike for 51 days starting June 2, 2022, occupying the dock at the former Daewoo Shipbuilding & Marine Engineering Geoje Shipyard to demand wage negotiations and other improvements.

In response, Daewoo Shipbuilding & Marine Engineering filed a lawsuit claiming damages of 47 billion won against five union members, citing massive losses caused by the strike.

During the three-year trial, various sectors of society, including the Gyeongnam Provincial Government and the National Assembly, expressed concerns over the conflict and recommended withdrawal of the lawsuit.

The Gyeongnam Social Integration Committee mediated between both sides, requesting Hanwha Ocean three times to withdraw the damages lawsuit, citing the unbearable hardship the prolonged litigation caused to individual workers and their families.

After mediation, conflict, and negotiations, Hanwha Ocean and the Metalworkers' Union Geoje-Tongyeong-Goseong Shipbuilding Subcontractor Branch reached a tentative agreement in July.

On the 28th, a joint press conference was held at the National Assembly, where they announced the unconditional withdrawal of the damages lawsuit and signed a mutual cooperation agreement to build new trust between labor and management.

Choi Choongkyung, Chairman of the Gyeongnam Social Integration Committee, is announcing his position on Hanwha Ocean's decision to withdraw the lawsuit claiming damages worth 47 billion won. Photo by Lee Seryung

Chairman Choi Choongkyung stated, "I am grateful that Hanwha Ocean extended a hand first and that the union side also made concessions. I hope this grand compromise will serve as a starting point for resolving all labor-management issues nationwide."

He continued, "I feel proud that the first agenda item proposed by our Social Integration Committee after its launch three years ago has led to this first achievement. I hope that even bigger issues will be resolved in this manner going forward."