The Korean Cargo Transport Workers' Solidarity Union (Cargo Union) is ramping up collective action against BGF Retail, demanding the company "follow the spirit of the Yellow Envelope Law (the amended Trade Union Act)." Yet critics say the union has not taken the procedural steps needed to establish the legal legitimacy of its demands. While the amended law has broadened the definition of a primary contractor as an employer, the legal status of special employment workers such as cargo truck drivers remains unclear, raising concerns that the controversy will only grow.
According to labor and management sources on Nov. 21, the Cargo Union has repeatedly called for negotiations with BGF Retail since January, demanding easier loading and unloading tasks and stronger rest rights. The company, however, has not responded. BGF Retail maintains that under its contract structure — which runs from logistics centers to transport companies to cargo drivers — it is not the direct employer of the drivers. Under the Trade Union Act, legal negotiations require recognition of both union status and employer status, and critics argue that neither premise is clearly established for the Cargo Union.
For this reason, some argue that following the enactment of the amended Trade Union Act, the Cargo Union should have first secured its negotiating status through a ruling by the Labor Relations Commission. The union, however, says this is not realistic. "We are aware of the calls to obtain a ruling on primary contractor employer status in line with the implementation of the Yellow Envelope Law," a Cargo Union official said. "But for drivers who face the risk of contract termination every day, halting their livelihoods to prepare supporting documents is virtually impossible." The remark acknowledges the need for legal procedures but suggests drivers' livelihood conditions make them difficult to sustain.
Inside and outside labor circles, however, some interpret the union's delay as more than a matter of preparation burden. With the government still viewing Cargo Union members as self-employed small business owners rather than workers, there is a real possibility that the Labor Relations Commission could decline to recognize the union's status or deny the primary contractor's employer status. In that case, the momentum behind the union's negotiation demands could actually weaken. Analysts say that from the Cargo Union's perspective, it likely judged that strengthening bargaining power through strikes and rallies — its existing approach — would be more effective than securing negotiation rights through a legal ruling. "If a ruling that it cannot be regarded as a union comes out ahead of collective action, both the social justification and momentum inevitably weaken," an industry official said. "It likely chose the same approach of building bargaining power through nationwide general strikes, as in the past."
This case is also cited as exposing the structural limitations of the amended Trade Union Act. While expectations have grown around the law's intent to broaden the scope of primary contractor responsibility, the legal status of special employment workers such as cargo drivers — who straddle the line between self-employed and employee — remains unclear. In other words, while the definition of a primary contractor as an employer has expanded, it remains uncertain whom the law is meant to protect. "This is an issue that has been raised consistently even before the law took effect, but the system was implemented without sufficient overhaul, only adding to confusion on the ground," an industry official said.
Meanwhile, the Cargo Union is intensifying pressure following the death of a union member during a rally the previous day. The union attempted to enter the South Gyeongsang Provincial Police Agency building on Nov. 21, demanding a meeting with the provincial police chief, and held an emergency press conference in front of BGF Retail's headquarters. In the evening, about 1,000 members gathered for a rally. In the political arena, Democratic Party lawmaker Lee Yong-woo called on CU during a press conference at the National Assembly, saying, "CU must immediately come to the negotiating table," signaling that the controversy is spreading further.
