Korean Air Labor and Management Agree on Wage Freeze for This Year

Bonus payments for Family Month to be made this month... "MRO sale rumors are baseless"

As the court's decision on Korean Air's acquisition of Asiana Airlines approaches, a Korean Air passenger plane is landing on the runway at Gimpo Airport in Gangseo-gu, Seoul, on the 30th. The Seoul Central District Court is expected to deliver a verdict today or tomorrow on the injunction request filed by activist private equity fund KCGI against Hanjin KAL to prohibit the issuance of new shares. If the court dismisses the injunction request, the acquisition process will accelerate, but if the injunction is granted, the acquisition is likely to be canceled. Photo by Kim Hyun-min kimhyun81@

[Asia Economy Reporter Yu Je-hoon] Korean Air's labor and management have agreed to freeze wages this year. This is part of sharing the pain to overcome the novel coronavirus disease (COVID-19) crisis.

According to the industry on the 16th, Korean Air's labor and management agreed on the 14th to freeze wages this year and maintain the current collective agreement through discussions. In addition, labor and management also agreed to suspend work under the same conditions as this year for six months until June next year.

Furthermore, labor and management decided to pay the Family Month bonus (50%) that was not previously paid on the 21st, and to proceed with employee promotions delayed due to the impact of COVID-19 as soon as possible.

During this negotiation, rumors about the sale of the aircraft maintenance (MRO) division, which have been raised by some, were also brought up. The management explained to the union that "there has been no review, and it is groundless."

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