Labor Commission Chief: Union Expectations Exceed Law's Intent, Management Should Refuse Unfair Demands

Central Labor Relations Commission Chair Park Soo-keun's First Press Briefing · "Wage Increases Not Mandatory for Principal Contractors" · Improving Subcontract Worker Conditions Top Priority

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By Yang Jong-gon
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null - Seoul Economic Daily Society News from South Korea

Park Soo-keun, Chairman of the National Labor Relations Commission, pointed out regarding the revised Trade Union Act (Yellow Envelope Law), which marked one month since implementation, that "labor's expectations have aspects that are excessive beyond the law's intent." He clarified that this law does not unconditionally impose wage increase or direct employment obligations on principal contractors, emphasizing that "they should meet directly, accommodate what can be accommodated, and reject what should be rejected."

Chairman Park held his first press conference since taking office on the 13th and drew a clear line, stating "The Yellow Envelope Law is not a law that grants 'substantive rights' requiring immediate wage increases just because substantial control is recognized." He continued, "The core of this law is recognizing 'procedural standing' that requires employers to sit at the negotiation table, breaking the practice where employers have refused dialogue altogether citing lack of contractual relationships."

In particular, Chairman Park warned against labor's indiscriminate attempts to expand the agenda. He stated, "Even if labor brings five demands, the Labor Commission will sort out only the valid ones and organize the rest," adding "Just because one demand is recognized does not mean all other agenda items will be accepted." This put the brakes on labor's movement to unreasonably expand the scope of negotiations following the law's implementation.

He also urged the business community to abandon vague fears. Chairman Park advised, "It is wrong thinking to refuse dialogue altogether due to concerns that if even one agenda item is recognized, they will be entangled in all matters," adding "It is legitimate to sit at the dialogue table but confidently reject unreasonable demands that cannot be accepted." He also added that the Labor Commission will not make judgments 'ignorantly' as the business community fears.

Regarding 'wage negotiations,' the top concern for both labor and management, he showed a firm position. Chairman Park analyzed that "from the perspective of Ministry of Employment and Labor guidelines and legal principles, it is very difficult to recognize wage increase obligations for principal contractors." He presented as evidence the fact that among 20 judgment cases where employer status was recognized since the law's implementation, not a single case had wages adopted as a negotiation agenda item, with most being industrial safety-related matters.

Chairman Park re-emphasized that the fundamental purpose of this law is 'improving conditions for subcontracted workers in the most vulnerable environments.' He expressed his conviction that "The earnest dream of subcontracted workers is to be employed by principal contractors or at least receive 'human treatment' at work," and "Opening the door to dialogue by principal contractors for indirectly employed workers who have been neglected while the two major labor federations focused on protecting regular workers' interests is the beginning of human rights and the role that unions and media should play."

Meanwhile, the Gyeonggi Regional Labor Relations Commission did not recognize Hwaseong City's employer status over Hwaseong City Sports Council's community sports instructors. This is the first public sector case since the revised Trade Union Act took effect. Prime Minister Kim Min-seok, during parliamentary questions that day, when People Power Party lawmaker Lee Jong-bae asked 'Wouldn't the government, ministers, or the president also be considered employers?', responded "Regarding 'how far government responsibility should extend,' there appears to be a situation requiring legal supplementation."

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.