Gov’t Prefers Labor-management Consultations to Collective Bargaining

Amid controversy over a recent Hyundai Motor Co. decision, the government is actively pushing to allow labor union participation in management through the existing labor-management consultation body.

A committee studying labor-management relations under control of the Ministry of Labor (MOL) is under way, including a plan to activate the labor-management consultation body, which is not in proper use right now, into a “roadmap,” according to the ministry Sunday.

“We are analyzing why the existing consultation system has not been in use,” said an MOL official. “We are attempting to get rid of a stumbling block to labor-management consultations instead of creating a new system to guarantee labor union’s participation in management,” the official added.

The move is apparently in line with remarks made in a briefing early last month by Lee Jung-woo, the policy chief at Cheong Wa Dae, that trade unions with too much participation may stir criticism that could hamper management.

In addition, a task force at Cheong Wa Dae charged with reforming the labor circle made it clear in its June report that it is possible for unions to ask for information on employers` human resources management and government policies, to consult with management and government, and to participate in the management or policy-making process for mutual understanding.

“When trade unions and management of individual companies try to solve every single issue through collective bargaining, and if they fail to work everything out, it leads to a walkout, which is in no one`s interest,” said another MOL official, stressing the need for labor-management consultation.

However, the way in which unions approach management through consultations will be rough going between employers, who claim that the current consultation system already places too much pressure on themselves and the workers, and doubt whether the move is to only have consultations and not a full agreement.

The Labor Ministry is expected to accept the tentative plan concerning labor policies, which will be submitted by the committee at the end of this month, and which will bring them to the discussion of the Tripartite Committee. It will also get them started on amending related labor laws from late this year if an agreement is reached.

Jin Lee leej@donga.com