KEF Urges Labor Unions to Refrain From Excessive Demands Ahead of 'Yellow Envelope Law'

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By Shim Ki-moon
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Korea Employers Federation: "Labor sector should not make unreasonable demands for Yellow Envelope Act... Refrain from illegal activities" - Seoul Economic Daily Finance News from South Korea
Korea Employers Federation: "Labor sector should not make unreasonable demands for Yellow Envelope Act... Refrain from illegal activities"

The Korea Employers Federation (KEF) on Monday called on labor unions to refrain from making excessive bargaining demands ahead of the implementation of the so-called "Yellow Envelope Law," amendments to Articles 2 and 3 of the Trade Union Act.

"Some labor unions have publicly stated they will demand negotiations with principal contractors regardless of whether employer status is recognized, and will seek bargaining on issues where employer status has not been established, raising concerns that labor-management disputes will continue," KEF said in a statement released on the 8th.

"Even before the law takes effect, subcontractor unions are pressuring companies through illegal tactics such as occupying workplaces and staging sit-ins while demanding principal contractors come to the bargaining table," KEF stated. "Labor unions should refrain from making excessive demands beyond the scope where employer status is recognized in collective bargaining with principal contractors, and from engaging in illegal acts to achieve these goals."

KEF also requested the government to directly intervene to reduce confusion surrounding the Yellow Envelope Law. "The government and the Labor Relations Commission should make objective and fair judgments on whether principal contractors hold employer status according to recently announced interpretation guidelines," KEF emphasized. "Administrative resources should be concentrated on preventing bargaining demands or industrial actions by labor that deviate from negotiation procedure manuals, and a strict judgment system should be established."

The Korean Confederation of Trade Unions (KCTU) previously announced that subcontracted workers belonging to metal, public sector, service, and construction unions plan to demand negotiations with principal contractors in line with the law's implementation. Business anxiety is growing as KCTU has warned it will launch a general strike in July against principal contractor workplaces that avoid negotiations.

Original reporting by Shim Ki-moon for Seoul Economic Daily.

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

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