Financial Labor Union Begins Strike Vote... Concerns Over General Strike

Strike to start immediately upon approval
General strike rally scheduled for the 10th

[Asia Economy Reporter Seong Gi-ho] The National Financial Industry Labor Union (Financial Union) is entering a strike vote among its members for a general strike. If the vote passes, the union will be able to legally strike immediately. A general strike resolution rally is scheduled for the 10th. However, concerns are rising that labor-management conflicts will intensify as disagreements over the key issue of wage increase rates remain unresolved between the union and the employers.

According to the financial sector on the 2nd, the Financial Union will conduct a strike vote among members at 38 branch workplaces nationwide from 8 a.m. to 6 p.m. on the same day. On the 3rd, the union plans to hold a press conference related to the general strike, and on the 10th, it will hold the ‘2021 Wage and Labor Conditions Victory On- and Offline General Strike Resolution Rally.’

Earlier, the Financial Union and the Financial Industry Employers’ Council attended the second mediation meeting of the Central Labor Relations Commission last month on the 2nd but failed to narrow their differences on the core issue of wage increase rates, resulting in a breakdown. Since the mediation began, the Financial Union has demanded a 4.3% increase for regular workers and 8.6% for low-wage groups (those earning less than 80% of the general regular workers’ wage level). However, the employers proposed a 1.2% increase, showing a significant gap between the two sides. The Central Labor Relations Commission proposed a 2.2% compromise, considering the banking sector’s record-high net profit in 2018 (15.6 trillion KRW), the wage increase rate at that time (2.6%), and this year’s performance, but neither side accepted it, granting the union the right to strike.

Since the suspension of mediation by the Central Labor Relations Commission, the Financial Union has been escalating its struggle. Starting with simultaneous one-person protests by branches on the 30th of last month, from the 31st, about 300 full-time executives nationwide have been conducting one-person protests in front of headquarters and key branches.

Park Hong-bae, chairman of the Financial Union, began protest visits to employer representatives starting at the Bank Hall on the 24th of last month. This year’s representative negotiation team includes Shinhan Bank, Kyongnam Bank, KB Kookmin Bank, Korea Credit Guarantee Fund, and IBK Industrial Bank of Korea.

From the 1st, bank employees nationwide have been refusing additional tasks beyond their regular duties and wearing badges to inform customers of the current situation. If the strike vote passes, from the 24th, all bank employees will simultaneously take lunch breaks. In this case, customers are expected to face difficulties receiving financial services at bank branches from 12 p.m. to 1 p.m., inevitably causing confusion.

With negotiations breaking down, the six agenda items proposed by the union to the Central Labor-Management Committee are also at a standstill. Especially since some of the agenda items include sensitive topics such as ‘simultaneous use of lunch breaks,’ it is widely expected that discussions will not be easy.

Chairman Park said, "This struggle is solely to restore the pride of financial workers who devoted themselves to leading South Korea’s economic recovery during the COVID-19 situation, relying only on masks and acrylic partitions," adding, "We will unite the members’ will in the strike vote and achieve an overwhelming approval."

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