Seoul city bus union to go on strike Wednesday after wage talks fail
Summary
Seoul city bus workers will begin a general strike at 4 a.m. Wednesday after wage talks with management failed in Seoul on Tuesday. The union said the dispute centers on how to calculate ordinary wages after regular bonuses are included. Seoul city government plans emergency transport measures, including up to 1,500 free shuttle buses and more subway service during rush hours. The union said negotiations would continue until midnight.
Key Facts
- About 7,000 city buses operated by 64 companies run on roughly 390 routes in Seoul.
- The union wants ordinary wages calculated based on 176 monthly work hours and is seeking a 7.85 percent wage increase.
- Bus companies and the Seoul city government say the union's proposal would amount to about a 16 percent wage increase.
- The Seoul city government estimates that a 1 percent wage increase would add about 14 billion won in annual costs.
- If all of the union's demands are accepted, the city says its annual bus system deficit could double to about 1 trillion won.
A sign announcing emergency transportation measures in response to the Seoul city bus strike stands at the Seoul Station bus transfer center in central Seoul, Tuesday. Yonhap
The union representing Seoul city bus workers said Tuesday it will launch a general strike starting with the first buses the following morning after wage talks with management ended without an agreement.
The labor and management held their second round of mediation talks at the regional labor relations commission in the day, but their eight-hour talks failed to produce a breakthrough, according to the union.
Accordingly, the union plans to begin the strike at 4 a.m. Wednesday as threatened earlier. About 7,000 city buses operated by 64 companies run on roughly 390 routes in Seoul.
The Seoul city government said it will implement emergency transportation measures in response to the strike, including deploying up to 1,500 free shuttle buses to and from subway stations and increasing subway services during rush hours.
Despite the failed mediation, the union said it would continue negotiations with management until midnight.
Representatives of Seoul's city bus companies and unionized bus workers attend wage negotiations at the Seoul Regional Labor Relations Commission in the capital city, Tuesday. Yonhap
Unionized city bus workers and bus companies have been locked in a dispute over how to calculate the hourly wage rate after including regular bonuses in ordinary wages.
The union has called for calculating ordinary wages based on 176 monthly work hours and raising wages by 7.85 percent. However, bus companies and the Seoul city government have rejected the demand, saying the proposed calculation would effectively result in a wage increase of approximately 16 percent.
Yoo Jae-ho, deputy secretary-general of the union, said the union is willing to reach an agreement if the 176-hour monthly work standard is recognized, adding that the 7.85 percent wage increase is not a fixed demand.
Yoo also rejected management's claim that accepting the union's demands would raise bus drivers' annual salaries to 85 million won ($62,500), saying their average annual salary is estimated at 59 million won this year.
City buses in Seoul and other big cities nationwide are operated under a semi-public management system, in which bus companies run the services while the municipal government covers their losses.
The Seoul city government estimates that a 1 percent wage increase would add about 14 billion won in annual costs and that accepting all of the union's demands could double the city's annual bus system deficit to about 1 trillion won.
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