"Kakao Mobility Private Equity Sale Withdrawal Demand"... Kakao Union Requests Collective Bargaining

[Asia Economy Reporter Seungjin Lee] As it became known that Kakao is considering the sale of its subsidiary Kakao Mobility, the Kakao labor union expressed opposition to the sale, demanding the withdrawal of the private equity fund sale of Kakao Mobility.

On the 20th, Seo Seungwook, head of the Kakao branch of the National Chemical Fiber Food Industry Labor Union 'Crew Union,' stated, "If the management, who promised the platform's social responsibility, tries to sell the company to a private equity fund that is the furthest from that, no one will be able to understand it," adding, "Now is the time not to sell but to think about and implement how to become a better platform."

He continued, "In particular, the sale of Mobility will be a signal of Kakao's future management style," and pointed out, "It may not be a form of spinning off well-developed services, making them independent corporations, and going public, but rather a declaration of intent that they can be sold at any time."

Furthermore, the Crew Union raised its voice through a statement, saying, "Even when platform services were criticized or when the business faced ups and downs, the crew endured together and created various mobility-related services such as taxis, designated drivers, bikes, parking, and navigation," and added, "We took on platform service criticism and reproach with greater responsibility, believing that this was the way to help and give back to our society."

They went on to say, "Having a private equity fund operate a mobility platform used by the entire nation is like entrusting a fish store to a cat," and clearly expressed opposition to the sale, stating, "Only the management and large investors will benefit, while the citizens who use the platform, platform workers who make a living through it, small investors who believed in Kakao's value and invested, and employees who bought employee stocks will all suffer misfortune."

The union also announced collective action. In the statement, the union said, "The Kakao Mobility branch, together with the Crew Union, became the first labor union in the Kakao community with a majority of workers as members and officially requested negotiations with Kakao Mobility," adding, "This collective bargaining will not only protect the rights of union members but also unite all crews in the Kakao community and platform workers to create a mobility platform that the public can love."

Following the news of the share sale, union membership within Kakao Mobility rapidly increased. The number of union members, which was only 35 as of January, exceeded 360 as of the 16th, surpassing half of the total employees (700), becoming the 'first majority union in a Kakao affiliate.'

As the controversy spread, Kakao Mobility management stepped in on the 17th to ease concerns, but employee unrest did not subside. At the all-hands meeting for employees that day, Kakao Mobility CEO Ryu Geung-seon said, "We are only at the stage of discussing possibilities; nothing has been decided," and added, "If the sale proceeds under conditions unacceptable to us regarding employee welfare and job security, I will oppose it as a shareholder."

CEO Ryu also emphasized, "We have competitiveness even without the Kakao name," and encouraged, "Let's believe in ourselves, not Kakao," implying there is no need to fear independence from Kakao.

On the 14th, news emerged that MBK Partners, the largest private equity fund operator in Korea, is pushing to acquire Kakao Mobility. Kakao stated, "We are reviewing various options to enhance shareholder value and ensure the continuous growth of Kakao Mobility," and did not deny discussions about the sale.

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