IBK Bank President Sets Up 'Temporary Office' to Block Commute

Newly appointed IBK Industrial Bank of Korea President Yoon Jong-won was blocked by union members opposing his inauguration as he tried to enter the bank's headquarters in Jung-gu, Seoul, on the 3rd, forcing him to turn back. Photo by Kim Hyun-min kimhyun81@

[Asia Economy Reporter Kim Min-young] Yoon Jong-won, president of IBK Industrial Bank of Korea, has set up a 'temporary office' at the Korea Institute of Finance and has officially begun performing his duties as president. Although he is unable to go to his office due to obstruction by the bank's labor union, he has established a temporary base outside and is determined to confront the 'parachute appointment controversy' head-on. Union members, who have been blocking his attendance for two consecutive days, are demanding Yoon's resignation and have expressed their intention to launch a general strike, so it is expected that the disruption of the president working outside the head office will continue for the time being.

According to the financial sector on the 6th, Yoon set up a temporary office at the Korea Institute of Finance in Jongno-gu, Seoul, and began full-scale work by receiving reports on business status. The Korea Institute of Finance is mainly used as an office where senior financial officials prepare for hearings and other matters.

Earlier, on the 3rd, when Yoon's first attempt to go to the bank's head office in Euljiro, Jung-gu, Seoul was blocked by the union's attendance obstruction, he set up a temporary office at the Korea Financial Research Institute nearby and held an introductory meeting with the vice presidents. This office was used when he worked as a research fellow at the Financial Research Institute after resigning as the Blue House economic chief in June last year. The Financial Research Institute is about a 4-minute walk from the bank.

An IBK official said, "On the 3rd, the introductory meeting with the vice presidents was held at the temporary office," and added, "From today, business status reports are expected to be conducted at the Korea Institute of Finance."

Yoon also carried out official external schedules as planned. On the first day of attendance, he attended the New Year's meeting of the financial sector held at the Shilla Hotel in Jung-gu, Seoul. It is reported that Yoon insisted on attending despite the objections of his close aides. He is also considering attending the New Year's meeting of small and medium-sized business owners held at the Korea Federation of SMEs in Yeouido, Seoul, at 3 p.m. that afternoon.

He plans to attempt to return to the bank's head office again. He cannot stay outside the bank indefinitely. It is known that Yoon will try to go to the bank's head office again sometime this week.

The conflict with the union is expected to deepen due to Yoon's determination to proceed. The union is conducting a sit-in protest blocking attendance in front of the head office, demanding Yoon's resignation. It is known that Yoon's side has not yet contacted the union for a meeting, and the union plans not to engage in dialogue even if contacted. A union official said, "President Moon Jae-in promised through a policy agreement that there would be no parachute appointments," and added, "The ruling party and the Blue House must take responsible measures."

The Blue House and the government are refuting the parachute appointment controversy and supporting Yoon. They say that regardless of whether he is an internal promotion or an external bureaucrat, the president was appointed based on competence first.

Voices are emerging that whether Yoon voluntarily resigns or continues his term, a conclusion must be reached as soon as possible for IBK to stabilize. IBK is expected to face worsening management, including a decline in performance last year. The market expects IBK's net profit for last year to decrease by 38.4 billion KRW from the previous year to 1.7259 trillion KRW. This is the first decrease in six years since 2013.

This content was produced with the assistance of AI translation services.