Strike Halts Operations at LG-Caltex Oil

July 19 - With the NLRC (National Labor Relations Commission) decision to award emergency mediation to the strike taking place at LG-Caltex Oil Corporation, located inside the Yeosu Industrial Complex, Chunnam, both the union and management are in discord and 52 out of the 67 operations are suspended, bringing the whole factory to the verge of a complete stop.

The union has taken control of six operation rooms, including the RFCC (Residual Fluid Catalytic Cracking) room, out of 29 on July 18, and on the following day afternoon, they took control of the oil storage control room, which supervises the flow of crude oil.

Management said, “The union has taken control of 22 operations inside the factory, and has halted some facilities, setting back the whole production process, so we requested police intervention.”

A member of the company said, “The RFCC control room, which is occupied by the union, is not functioning, and this led to the suspension of 52 out of a total of 67 operations,” and added, “The operation rate of the factory is now merely 23 percent, which is in fact a ceasing of operations.”

On the same day, management gathered about 300 members from its headquarters and regional branches and tried twice to take back of the RFCC control room, but failed due the resistance of the union.

On the other hand, the union held a press conference on the morning of that day and argued that its occupation of some control rooms was “managing a few control rooms that were operated by inexpert managers, and preventing accidents such as explosions and gas leaks from dangerous facilities.”

The union also said, “Management is not trying to solve the problem through dialogue, but rather through the government’s power to award emergency mediation, and oppress the union,” and vowed, “We do not want any more catastrophes, but if the management continues to depend on emergency mediation, the worst is yet to happen.”

Nevertheless, the statement handed out by the company declared: “The union has only held four negotiations with the company after May 24, it has declared the rupture of wage increase negotiations, and decided to strike after voting during the seven-day period of NLRC’s arbitration.”

On July 16, the company sued two members of the union, including the head of public relations of the union, for interfering with business by unlawfully taking control of company assets.

Seung-Ho Jung shjung@donga.com