Time-off scheme has shaky start

Employers, unions suspected of behind-the-scene deals to avoid conflicts

By Lee Hyo-sik

Staff reporter

A growing number of businesses have reached an agreement with their unions to slash the number of fulltime paid union leaders, despite labor umbrella groups' strong protest against the so-called "time-off" payment system, which will go into effect on July 1.

But according to labor organizations, many employers have also agreed with unions in secret deals to maintain the number of full-time union leaders, a bid to avoid potential labor-management conflicts.

The government plans to look into local companies' collective agreements concerning the time-off system next month and take stern measures against those who keep the number of regular union leaders beyond the legal limit stipulated by the revised Labor Act.

The time-off scheme sets the legal basis for paying the union leaders when they take time off from their regular work to perform union activities.

According to the Ministry of Labor Monday, many businesses employing more than 100 workers nationwide have renewed agreements with labor unions ahead of the introduction of the time-off scheme on July 1.

But it also said some companies are grappling with the walkout by unionized workers in protest of the new system.

Strikes looming large

Last Friday, Members of Kia Motors' union overwhelmingly voted to go on strike over the management's refusal to pay wages to full-time union officials.

About 71 percent or 27,528 members of the union supported the proposal to go on strike at its factories in Soha-ri, Gyeonggi Province.

Despite sporadic industrial strikes, more labor unions are signing a revised collective agreement with their employers for reducing the number of full-time union leadership positions in accordance with the revised Labor Act.

For instance, a stainless steel manufacturer employing 303 workers in Changwon, South Gyeongsang Province, reached an accord with the labor union to slash the number of full-time union officials to two from the current four in line with the time-off scheme.

Additionally, management and labor unions at many small-and-medium sized mostly manufacturing firms have agreed to cut the number of regular union positions.

Ssangyong Motor, Korail, LG Electronics and other large companies have also signed accords with their unions.

However, the Korean Confederation of Trade Unions (KCTU) said on June 24 that 85 businesses out of 170 currently negotiating with union workers over the time-off system have consented to maintaining the number of full-time union leaders, in violation of the time-off scheme.

Against this backdrop, the labor ministry plans to check whether management and union have changed their collective agreement in line with the law in July.

The ministry has set up a counseling center at its branch offices across the nation to help businesses negotiate with unions for the system. A taskforce will also be formed early next month to launch a full-scale inspection into thousands of unionized workplaces.

"We are trying to verify the KCTU's claim through our branch offices across the country. If companies are found to have colluded with the labor union not to reduce the number of full-time union leaders, we will take strong legal action against them next month," a senior ministry official said.

Under the revised Labor Law, employers who violate the time-off system are subject to either imprisonment of up to two years or a fine of up to 20 million won.