"Can't Drink Chamisul?"... HiteJinro Shipment Halted Again Amid Strike Warning
HiteJinro-Cargo Solidarity Conflict 'Deepens'
Cargo Solidarity Occupies Road in Front of Icheon Plant for Strike
1200 People Expected to Gather... Overnight Sit-in Likely to Continue
HiteJinro Suspends Soju Shipments on 22-23
Safety Issues Raised... Concerns Over Illegal Parking Truck Accidents Persist
Members of the Cargo Solidarity Headquarters of the Public Transport Union affiliated with the Korean Confederation of Trade Unions are preparing for a rally on the morning of the 22nd in front of the Hite Jinro Icheon factory in Bubal-eup, Icheon-si, Gyeonggi Province.
View original image[Asia Economy Reporter Song Seung-yoon] The conflict between HiteJinro and the truck owners affiliated with the Korean Confederation of Trade Unions (KCTU) Cargo Solidarity over freight rate increases appears to be deepening. On the 22nd, the Cargo Solidarity announced a two-day strike while occupying the road in front of the Icheon factory. As about 1,200 people are expected to gather in front of the factory, HiteJinro has decided to halt soju shipments.
According to industry sources, HiteJinro decided to suspend shipments of soju products from the Icheon factory on the 22nd and 23rd. This is because the KCTU Public Transport Workers' Union Cargo Solidarity Headquarters has announced a full road occupation strike with about 1,200 participants in front of the factory, making shipment operations impossible. The rally is expected to begin at 3 p.m. that day. During a previous strike, when the factory entrance was blocked by trucks, liquor wholesalers directly loaded and transported soju products themselves, but as the number of participants increased, this method is expected to be completely blocked. HiteJinro had recently been shipping products at night to increase shipment rates, but since some participants plan to continue an overnight sit-in during this rally, even that has become difficult.
HiteJinro expects that the suspension of shipments will cause disruptions in soju product shipments, which usually amount to about 130,000 boxes per day, over the two days. This equates to about 3.9 million bottles. If inventory accumulates due to the shipment halt, production itself may be suspended as in previous cases. However, there is not expected to be a major disruption in soju supply. In fact, last month, truck owners participating in the strike blocked deliveries by other truck owners, causing inventory overflow at the Icheon factory and temporarily halting product production.
At that time, the product shipment rate, which had fallen to 38% of normal levels, has recently barely recovered, but with this strike, HiteJinro faces having to endure significant losses again. Not only the company but also wholesalers and small business owners handling soju are expected to suffer extensive direct and indirect damages.
The conflict between the two sides has continued for four months. About 130 truck owners belonging to Suyang Logistics, a freight transport contractor for HiteJinro, joined the KCTU-affiliated Cargo Solidarity at the end of March and began striking. Starting with a partial strike in March, they launched a full strike on April 2 and have continued refusing transport even after the Cargo Solidarity’s general strike ended. They are demanding increases in transportation fees and empty bottle freight charges, as well as payments for vehicle advertising costs, idling, and waiting times.
During this process, truck owners illegally parked trucks near the factory entrance road, occupying the road. HiteJinro is responding by filing civil and criminal lawsuits against them and actively requesting crackdowns from the local government and police authorities. The police have been working to secure the factory entrance and nearby roads, but the truck owners’ resistance is intensifying. The local government office of Icheon City, which has jurisdiction, maintains that aside from imposing fines, practical measures are difficult to implement.
Safety issues have also been consistently raised. On the 9th of this month, a fatal accident occurred on a road near the factory due to illegally parked trucks. At that time, a passenger car passing near the factory collided with a 14-ton truck parked on the shoulder, and the passenger car went under the truck, resulting in the death of the driver, a man in his 30s identified as Mr. A, at the scene. The parked truck was confirmed to belong to a union member of the KCTU Cargo Solidarity.
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A HiteJinro official said, "Besides the financial losses, the mental stress on on-site employees and the risk of accidents caused by illegally parked vehicles are the biggest concerns. Active enforcement of public authority is necessary against safety threats and illegal activities, and we will do our best to prevent further accidents, ensure shipments, and resolve the situation quickly."
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