FKCCI Rejects Merger with KEF "Now Is Not the Right Time"

[Asia Economy Reporter Su-yeon Woo] Regarding the speculation about the merger between the Korea Employers Federation (KEF) and the Federation of Korean Industries (FKI) mentioned by Son Kyung-sik, chairman of KEF, the FKI expressed a polite refusal, stating that "now is not the appropriate time."

On the 26th, Kwon Tae-shin, full-time vice chairman of the FKI, met with reporters after the '60th Founding General Assembly' held at the FKI building in Yeouido, Seoul, and dismissed the merger speculation between KEF and FKI, saying, "There has been no official or concrete proposal (from KEF)," and "now is not the appropriate time."

However, Vice Chairman Kwon mentioned that looking at Japan, where labor relations are stabilized, there have been cases of mergers between economic organizations specializing in labor issues (Keidanren) and organizations representing the interests of large corporations (Nippon Keidanren), leaving open the possibility of a merger between the two institutions from a long-term perspective.

Vice Chairman Kwon said, "If labor disputes are not severe like in Japan or the United States, a merger of the two organizations could be considered, but given the current labor-management confrontation situation in our country, I think it is better to operate by preserving their unique areas."

Kwon Tae-shin, Executive Vice Chairman of the Federation of Korean Industries

To revitalize the FKI, which is celebrating its 60th anniversary, various measures to enhance 'corporate social responsibility' were proposed, along with plans to fill the FKI chairman group with younger and more diverse figures from various fields.

Regarding the rejoining of member companies from the four major groups, a cautious stance was taken. Chairman Kwon said, "There are still ongoing trials involving those companies, so considering various circumstances, I think it is still premature." Since the FKI was implicated in the 2016 political scandal, the four major groups?Samsung, SK, LG, and Hyundai Motor Group?have all withdrawn from FKI membership.

Despite this situation, the FKI pledged to continue fulfilling its role as a representative economic organization advocating for large corporations. Vice Chairman Kwon said, "In many advanced countries, private economic organizations representing the opinions of large corporations have contributed to economic development," and added, "The FKI will continue to strengthen such functions."

Meanwhile, on the same day, the FKI held its 60th Founding General Assembly and reappointed the current chairman, Heo Chang-soo, as the next chairman. Chairman Heo, who has served as FKI chairman since 2011, was reappointed for the fifth term, becoming the longest-serving FKI chairman. On this day, Chairman Heo emphasized, "The future demands a completely new image from the FKI, not the familiar ways of the past," and stated, "On the occasion of the 60th anniversary, we will renew everything with the spirit of re-founding."

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