'#BoycottMurderousCompanies' Coupang Faces Another Boycott Movement, What Are Your Thoughts?

Fire at Icheon Logistics Center Sparks Issues on Labor Conditions and Corporate Ethics

On the morning of the 18th, firefighters are conducting extinguishing operations at the Coupang Deokpyeong Logistics Center fire site in Majang-myeon, Icheon-si, Gyeonggi-do. [Image source=Yonhap News]

[Asia Economy Reporter Park Hyun-joo] "I am quitting the murderous company Coupang. Workers are human too."

Following the fire at Coupang's logistics center in Icheon, Gyeonggi Province, issues regarding Coupang's poor labor conditions and corporate ethics have come to light, leading to a growing consumer boycott of Coupang.

The fire occurred around 5:36 a.m. on the 17th in the building's basement level 2. The exact cause of the fire has not yet been determined, but CCTV footage at the time captured sparks flying from a power strip installed above the shelves in the goods warehouse. The power strip was installed to allow workers in the basement level 2 warehouse to use fans, according to investigations.

On the 18th, a day after the fire, Coupang issued an apology and announced support measures for the family of Kim Dong-sik, the rescue team leader who died during the fire rescue operation, as well as for employees. They also stated their intention to invest in creating a safer workplace environment in the future.

On the 19th, Twitter users posted certification posts of boycotting Coupang. Photo by Twitter capture.

However, consumer anger has not subsided and has led to a boycott of Coupang. On online communities, numerous netizens posted screenshots proving they had quit Coupang. On Twitter, "quitting Coupang" ranked 4th in South Korea's trending topics as of 2 p.m. on the 20th.

Coupang's poor labor conditions have been a continuous source of controversy. Criticism has been raised that to maintain the "Rocket Delivery" service, workers have been forced to handle excessive workloads.

On October 12 last year, a worker at Coupang's logistics center in Chilgok, Gyeongbuk, collapsed and died at home after finishing a night shift. In January, a worker in his 50s died from overwork while working in minus 11-degree cold weather. According to the Public Transport Union's National Logistics Center Branch Coupang Logistics Center Chapter, nine workers died at Coupang logistics centers over the past year since May.

This is not the first Coupang boycott either. When a COVID-19 cluster infection occurred at the Bucheon logistics center in Gyeonggi last May, some Coupang users also launched a boycott. Criticism was raised that Coupang neglected a work environment vulnerable to cluster infections, such as inadequate ventilation and sharing of work clothes and shoes among multiple workers.

Experts predict that this boycott will deal a significant blow to Coupang. Professor Lee Eun-hee of Inha University’s Consumer Studies said, "The boycott will not only cause an immediate drop in sales but will also damage Coupang’s corporate image in the long term," adding, "If the boycott continues for a long time, even consumers who do not participate will feel uneasy about Coupang."

She continued, "Coupang attracted consumers because of its fast delivery. But now, consumers have declared they are willing to give up this benefit even if it means a loss," adding, "This is because consumers have come to believe that purchasing Coupang’s products will not resolve the company’s problems."

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