Bank workers to strike in protest of branch shutdowns

The Korean Financial Industry Union (KFIU) members chant during a press conference at the organization's headquarters in Seoul, Friday. / Screen capture from YouTube

By Park Jae-hyuk

Unionized workers of commercial and state-run banks nationwide plan to go on strike later this month to protest the management's unilateral decision to close branches and to increase wages at a lower-than-expected rate, the Korean Financial Industry Union (KFIU) said, last week.

They will first stage a slowdown on Sept. 24 to urge management to allow bank workers to have a one-hour lunch break simultaneously, instead of staggered meal breaks.

The announcement came a day after 92.47 percent of its members supported a strike in Thursday's (Sept. 2) vote, which had a 73 percent voter turnout. The KFIU plans to hold a rally on Sept. 10 to declare a general strike.

The union has demanded negotiations with the management before branch shutdowns, saying the closure of branches and workforce reductions have intensified pressure on workers and exacerbated job security. According to the KFIU, the number of bank branches dropped to 6,409 in 2020 from 7,698 in 2012, and the number of bank employees declined to 74,311 in 2020 from 83,924 in 2015.

Banks were also criticized for refusing to share their record-high profits with employees. The union emphasized that the workers had agreed with a low wage hike last year to support those facing financial difficulties caused by the COVID-19 pandemic.

In response, employers expressed concerns about the possibility of the union's actions spreading the coronavirus further. They vowed to continue conversations with the labor union to prevent a worsening of the situation.