KCTU Demands "Legislate Ban on Dismissals"... Declares Struggle Amid COVID-19 Employment Crisis

Homeplus, Eastar Jet, and Other Companies' Consecutive Layoffs,
Urging Government and National Assembly to Resolve Restructuring Crisis

Kim Jae-ha, Emergency Measures Committee Chairman of the Korean Confederation of Trade Unions, is speaking at the Korean Confederation of Trade Unions' press conference against restructuring under the pretext of the COVID-19 economic crisis held in front of the National Assembly in Yeouido, Seoul on the 12th.
[Image source=Yonhap News]

[Asia Economy reporters Donghoon Jeong and intern Junyi Park] The Korean Confederation of Trade Unions (KCTU) has launched an organized response to the layoffs and restructuring incidents that have occurred since the outbreak of the novel coronavirus disease (COVID-19).

On the morning of the 12th, the KCTU held a press conference in front of the National Assembly main gate, stating, "Capital and political circles must come up with measures in the face of the unilateral layoffs and restructuring expansion under the pretext of COVID-19."

They added, "During the first half of the year, millions of non-regular workers lost their jobs and were pushed into unstable labor markets such as ultra-short hours and part-time jobs," and "The layoffs and restructuring that began in the service and tourism industries are now spreading comprehensively to national key industries such as aviation, shipbuilding, and manufacturing."

The KCTU demanded ▲ the policyization of ‘temporary layoff prohibition’ ▲ prevention of withdrawal and sale of foreign investment capital and strengthening of employment obligations ▲ deletion of the layoff clause in the Labor Standards Act ▲ strengthening the responsibility of major shareholders and employers for management failures. They also announced plans to intensify a general struggle at the KCTU level.

On August 27, the KCTU held the '2nd Central Committee Meeting of 2020' and adopted a resolution stating, "We will fight with all our might to prohibit all layoffs and guarantee total employment for all workers against all layoffs under the pretext of COVID-19 and the economic crisis."

At the press conference, speakers included KCTU emergency committee chairman Kim Jaeha, members from the Homeplus branch of the Mart Union, the Korean Gates branch of the Daegu Metal Union, and the Eastar Jet pilots’ branch of the Public Transport Union. All these places have experienced closures or layoffs following the spread of COVID-19.

Homeplus sold three stores?Ansan branch in Gyeonggi, Tanbang branch in Daejeon, and Dunsan branch?starting in July due to offline retail recession and sales decline caused by COVID-19. Currently, Homeplus is in dispute with the union over the self-initiated sale process and employment stability measures.

Also, Korean Gates, a U.S.-headquartered auto parts company, notified the closure of its factory in Dalseong-gun, Daegu in June citing COVID-19. In response, workers protested and continued their struggle against the company’s unilateral closure decision.

Earlier, Eastar Jet notified layoffs to 605 employees, about half of its workforce, under the pretext of reselling after the failed M&A with Jeju Air. The Public Transport Union and Eastar Jet Union are demanding the withdrawal of layoffs and punishment of Lee Sang-jik, the founder and Democratic Party lawmaker.

The KCTU explained that workers at many companies such as Asiana Airlines, Pyeongtaek Hyundai Wia, and Korea GM Logistics are facing large-scale restructuring crises. The KCTU emphasized, "Depriving workers of their right to livelihood inevitably leads to a chain reaction threatening the survival of small business owners and expands into a serious crisis for the national economy as a whole."

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