Government: "Daewoo Shipbuilding Strike Settlement an Important Precedent... Legal and Principled Response to Illegal Acts (Comprehensive)"

Ministers of Employment, Justice, and Interior Issue Statement
Labor-Management Negotiation Settlement Deemed "Important Precedent"
Union Criminal Liability to Be Pursued... No Civil Involvement

On the afternoon of the 22nd, when the subcontractor labor-management negotiations at Daewoo Shipbuilding & Marine Engineering were dramatically settled, a Daewoo Shipbuilding firefighter is seen checking on Yoo Choe-an, the vice chairman of the Metalworkers' Union Geoje Tongyeong Goseong Shipbuilding Subcontractor Branch, who was protesting on an iron structure in the 1st dock at the Okpo Shipyard in Ajoo-dong, Geoje-si, Gyeongnam.
[Photo by Yonhap News]

The government on the 22nd evaluated the strike by the subcontractor labor union of Daewoo Shipbuilding & Marine Engineering (DSME) as an "important precedent," following the resolution of labor-management negotiations. It also emphasized that "any illegal acts that occurred during the unlawful occupation will be dealt with according to law and principles."

Lee Jeong-sik, Minister of Employment and Labor, Han Dong-hoon, Minister of Justice, and Lee Sang-min, Minister of the Interior and Safety, made this announcement during a press briefing titled ‘Government Position on the Labor-Management Agreement of DSME In-house Partner Companies’ at the Government Complex Gwacheon in the afternoon.

They stated, "The government has maintained the position that issues should be resolved through dialogue and compromise based on law and principles," adding, "This agreement sets an important precedent for resolving labor disputes in accordance with law and principles."

They continued, "The government will respond to any illegal acts that occurred during the unlawful occupation in accordance with law and principles," and added, "We hope that a culture of autonomous and mutually beneficial labor-management relations based on law and principles will be established going forward."

They further expressed, "We now hope that DSME and the in-house partner companies’ labor and management will promptly work together to normalize management," and "The government will also do its utmost to help South Korea leap forward again as a leading shipbuilding nation."

Earlier, Kwon Soo-oh, Chairman of the DSME In-house Partner Companies Council, and Hong Ji-wook, Vice Chairman of the Metalworkers’ Union, each representing the labor and management sides, held a briefing in the afternoon to announce the negotiation results and the settlement.

The DSME subcontractor labor union agreed through negotiations to a 4.5% wage increase, holiday bonuses of 500,000 KRW for Lunar New Year and Chuseok, and a summer vacation bonus of 400,000 KRW. They also reached a partial agreement on employment succession for union members who worked at closed workplaces.

However, they failed to reach consensus on one of the major contentious issues, the damage compensation lawsuit. It is known that the government plans to hold the union criminally responsible for any accusations and complaints filed.

The primary contractor, DSME, has already filed a complaint against the subcontractor union’s executive committee on charges of obstruction of business. However, the government is reportedly not involved in civil matters such as claims for damages.

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