A public ruling has recognized the Cargo Truckers' Solidarity Union (Hwamul Yeondae) as a legitimate labor union. On the 27th, the Seoul Regional Labor Relations Commission accepted the union's petition to correct the bargaining union certification notice filed against CJ Logistics and Hanjin Transportation. The commission classified individual cargo truck owners as workers and prime contractor logistics firms as employers. Following Employment and Labor Minister Kim Young-hoon's statement suggesting the government views the cargo union as a labor union, the labor commission has now recognized its bargaining rights, setting the stage for the spread of bargaining demands across the logistics and distribution sectors.
Prime contractor companies in the logistics and distribution sectors now face indiscriminate bargaining demands and strike risks following the commission's ruling. The decision will immediately affect negotiations between the cargo union and BGF Retail, operator of the CU convenience store chain. The cargo union has conducted labor activities since 2002 without obtaining a separate union establishment certificate, and has repeatedly staged collective actions after joining the Korean Confederation of Trade Unions' Korean Public Service and Transport Workers' Union in 2011. Despite this, the labor commission's ruling forces BGF, as the prime contractor, to sit at the bargaining table with the union. Immediately after the ruling, the cargo union declared in a statement that "this puts an end to claims that the cargo union is an extralegal union," demanding that BGF engage in responsible negotiations.
Since the enforcement of the so-called Yellow Envelope Act (the revised Articles 2 and 3 of the Trade Union and Labor Relations Adjustment Act), the government's labor-leaning stance—a source of concern from the outset—is becoming increasingly pronounced. Of particular concern is the growing confusion across industries as the labor commission issues a series of rulings recognizing prime contractors as employers. The latest ruling raises the likelihood that not only extralegal unions such as the cargo union, but also special-type employed workers across all industries—including parcel delivery, food delivery and platform workers—will demand collective bargaining.
Labor-management conflicts are intensifying due to the vague provisions of the hastily legislated Yellow Envelope Act. The government and the National Assembly must not turn a blind eye to the side effects of the law. Even at this late stage, they should actively reflect the voices of the business community and swiftly pursue supplementary legislation that clearly defines the scope of employers and workers, as well as the procedures for bargaining and the requirements for industrial action. The longer supplementary legislation is delayed, the greater the disputes over employer status and business uncertainty will become. With low economic growth becoming entrenched, it is more urgent than ever to move away from a one-sided pro-labor stance and adopt a balanced labor policy that considers the competitiveness of the entire industrial ecosystem.
