Kakao Mobility Collective Bargaining Breakdown: "Management Must Engage in Genuine Discussions"

The Kakao Branch of the National Chemical, Textile, and Food Industry Labor Union (hereinafter the union) announced on the 17th that collective bargaining with Kakao Mobility has broken down. Since August last year, the union has held 15 rounds of negotiations regarding wages, working hours, and other working conditions but ultimately failed to find common ground between labor and management.

At the 15th negotiation on the 3rd, the union proposed a final offer that included accepting the company's wage and incentive plan on the condition of ▲ labor-management consultation on the work system ▲ management's sharing of pain ▲ and the payment of welfare points with expanded usage either in the second half of 2023 or the first half of 2024. The management expressed that it was difficult to accept the union's proposal, leading to the final breakdown.

The union claimed that CEO Ryu Geung-seon, who was actively pushing for the sale of Kakao Mobility, was more focused on external expansion and the IPO rather than strengthening internal stability, as he was granted stock options for 1.32 million shares.

According to the union, the Fair Trade Commission imposed a fine of 25.7 billion KRW related to call order favoritism. They also added that there has been a consistent lack of responsible communication and explanation to internal members.

Kakao Mobility stated in recent negotiations that due to the fine imposed by the Fair Trade Commission and external circumstances, it is difficult to accept the union's bargaining conditions.

Lee Jeong-dae, head of the Kakao Mobility branch, said, “It is regrettable that the union proposed a final offer related to transparent communication and management’s sharing of pain, but it was not accepted,” and added, “If the management shows even now a sincere willingness to discuss and share the pain regarding the current situation, the door to negotiations remains wide open at this very moment.”

Seo Seung-wook, head of the Kakao union branch, pointed out, “It is generally the management who shares pain with workers, but it is ironic that in this case, the workers are requesting this from the management,” and criticized, “While several Kakao affiliates have frozen salaries and returned incentives during this crisis, only Kakao Mobility’s management seems eager to secure their own shares.”

The union plans to continue negotiations on major issues with the company during the labor commission’s mediation process and to carry out collective actions involving union members.

Kakao Mobility stated, “Since July last year, we have been engaging in sincere negotiations with the Crew Union, but it is regrettable that we have not fully bridged the differences,” and added, “As this is the first collective bargaining with the labor union formed by Kakao Mobility crews and holds significant meaning, we intend to continue negotiating more faithfully and seriously to achieve results that allow the company and crews to grow and coexist together.”

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