Corporate unions mobilized for political strikes

The Hyundai Motor branch of the Korean Metal Worker's Union (KMWU) within the Korean Confederation of Trade Unions (KCTU) went on strike on Wednesday for the first time in five years. Although it was a partial strike, it was clearly illegal. The strike was staged not because difficulties are brewing in wage and collective bargaining negotiations. Negotiations this year have only been held seven times until Tuesday. In this phase, labor and management representatives meet at the bargaining table to read the union’s demands. It is said that the reading of the union’s demands is usually completed twice when about 20 rounds of negotiations have been held. From this point on, the two sides will begin negotiations in earnest. Unions also go through strike procedures to increase their bargaining power. In other words, this is not the time to talk about strikes yet.

Why did the Hyundai Motor union go on strike even though they knew it was illegal? That is, leaving behind the good memories of negotiating wages or collective bargaining without a strike for four consecutive years from 2019.

First, many cite the KMWU's pressure. The Kia labor union, a sibling union group, participated in a partial strike during the KCTU general strike on May 31. Since collective bargaining between labor and management at Kia only began on the 3rd of this month, it was an illegal strike without going through industrial procedures. At the time, the Hyundai Motor union did not join the strike. An automobile industry official said, "Unlike Kia during the general strike in May, Hyundai Motor decided not to participate, so it is my understanding that the Hyundai Motor branch was under strong pressure from the metal union this time." Conversely, Kia did not participate in the general strike this time around. In the end, in the eyes of the metal union, it is enough to make Hyundai Motor and Kia, two of the most symbolic businesses, appear to sympathize with the intentions of upper-level union organizations.

Second, they know that they will not be held accountable even if they go ahead with an illegal strike. In May 2018, the union of Hyundai Motor Company, and in November of the same year, the union of Hyundai Motor Company and Kia Motors held an illegal strike. All three were sued by the company. However, the results were all deferment of prosecution. In other words, the prosecution gave a blank check to the illegal strike. Furthermore, the opposition party is promoting the so-called “Yellow Envelope Act,” which is an amendment to Articles 2 and 3 of the Labor Union and Labor Relations Adjustment Act (Union Act). If this bill is enacted, companies will be required to claim damages for each union member, even if damages are incurred due to illegal strikes by the union. Since a strike is a collective action, many point out that it is practically impossible to determine the amount of damage caused by each individual. This is why the business world reacted with such fury, saying, “Compensation for damages is a last-ditch effort to stop illegal strikes, but it is the law to neutralize them.”

In summary, the union of Hyundai Motor eventually wanted to stand as a sidekick in the political strike of a higher-level organization. Still, they were able to participate without any burden, knowing that even if it were illegal, they would not necessarily be held accountable.

“The KCTU’s general strike itself is an out-of-touch practice because there is nothing Hyundai management can do to oust the government or oppose the release of Fukushima contaminated water," said Cha Jin-ah, a professor at Korea University’s Graduate School of Law.

In defiance of the labor reform commitment of the Yoon Suk Yeol administration, the KCTU has been holding a rotational strike since July 3. Ironically, they take to the streets and raise their loudspeakers, proving that they are "subjects to reform" that cannot be delayed any longer.