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| Minister of Employment and Labor Lee Jae-kap, second from left, discusses with European Commissioner for Trade Cecilia Malmstrom, second from right, issues concerning Korea not adopting key ILO conventions in Seoul, Tuesday. Yonhap |
By Kwak Yeon-soo
Companies here are expressing concern over the EU's growing pressure on Korea to ratify key International Labor Organization (ILO) conventions, saying this is a sovereign matter for Asia's fourth-largest economy.
Business leaders are arguing the country should first balance "labor-friendly" policies and laws before adopting international labor rights provisions.
On Tuesday, the European Commission warned that it will initiate an expert panel to review Korea's compliance with the Korea-EU Free Trade Agreement (FTA) if it fails to ratify fundamental ILO conventions.
The EU demanded Korea approve conventions as agreed to in the FTA implemented in 2011.
The Korean government joined the ILO in 1991 but hasn't ratified four of the organization's eight fundamental labor conventions.
The still ungratified conventions are No. 87 on freedom of association and protection of the right to organize; No.98 on right to organize and collective bargaining; No.29 on forced labor; and No.105 on the abolition of forced labor.
Employers fear that ratifying the conventions will only strengthen "headstrong" labor rights while weakening employers' rights.
The Korea Employers Federation (KEF) released a statement, saying that the ratification was a sovereign matter and thus the government should discuss the matter with the EU in accordance with Article 13 (Trade and Sustainable Development) of the Korea-EU FTA.
"Unlike in the EU, unions in Korea have much power and superiority and some exercise their rights to the point of abuse. Such militant unions have hindered Korea's economic competitiveness by causing high costs and low efficiency," a KEF official said.
"Therefore, we need to discuss the matter after understanding Korea's unique labor-management relations and its systems related to labor affairs."
Korean businesses call for allowing substitute workers to take over work during strikes and abolishing the punishment of employers for obstructing labor activities.
They also say that collective bargaining agreements need to be renegotiated every three to four years instead of every two years.
A Korea Chamber of Commerce & Industry (KCCI) official said that business leaders agree with the necessity of ratification, but worry they might face unreasonable demands from unions.
"We don't object to the ratification process, but we are concerned that our requests might wither as the ILO conventions put more emphasis on protecting workers' rights," the KCCI official said.
The official added that workers should not take advantage of the EU's demand for ratification and the government should step up to take on the matter in a balanced manner.
"Resolving labor-management conflict is more urgent than the ratification process," the official said. "If we leave the conflict as it is, it can hamper productivity and drag down Korea's business competitiveness."
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