Union 27% Final Refusal to Submit Accounting Data... Ministry of Employment and Labor "Impose Fine"

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The Ministry of Employment and Labor granted a correction period to labor unions that failed to submit accounting documents, but it was found that 26.9% still refused to submit the data. By higher-level organization, the submission rate of the Korean Confederation of Trade Unions (Minju Nochong) was the lowest at about 37%. The Ministry of Employment plans to impose fines on unions that fail to fulfill their obligation to submit data.

On the 14th, the Ministry announced that it would begin imposing fines from the 15th on unions that did not report whether they had kept and preserved union accounting documents. Previously, on the 1st of last month, the government requested submission of data to verify the keeping and preservation of accounting documents from 319 unit unions and federations with more than 1,000 members. By the submission deadline of the 15th of the same month, 120 unions (36.7%) submitted the data.

Afterwards, the government reviewed the self-inspection reports and supporting documents submitted by the unions and confirmed their willingness to supplement, ultimately granting a correction period to 132 unions. Despite providing continuous opportunities for explanation during the correction period, as of 6 p.m. on the 13th, only 233 out of the 319 unions subject to inspection (73.1%) had completed data submission. 86 unions (26.9%) refused to submit data.

Looking at the unions that refused to submit data by higher-level organization, the Korean Confederation of Trade Unions (Minju Nochong) had the highest refusal rate at 37.1% (23 unions). By organizational type, federations had the lowest submission rate at 49.2% (29 unions).

The Ministry explained, "Although we required submission of only one inside page excluding the cover and sensitive information in accordance with the Labor Union Act to meet the inspection purpose of confirming the obligation to keep and preserve documents, it appears that the two major trade union federations instructed a complete refusal to submit through their guidelines."

(Data provided by the Ministry of Employment and Labor)

The Ministry plans to send prior notices of fines to unions that do not submit data within the correction period. Starting with five unions on the 15th, prior notices of fines will be sequentially completed by early next month.

For the two general federations, if they ultimately do not submit data, prior notices of fines are expected to be issued starting from the 21st. After the prior notice of fines, a 10-day period for submitting opinions will be given, after which the fines will be finally imposed on the respective unions.

Even after imposing fines, the Ministry plans to verify compliance with the obligation to keep and preserve documents through on-site inspections. To this end, on-site inspections will be intensified starting mid-next month. Unions that refuse, obstruct, or evade on-site inspections will be fined under the Act on the Regulation of Violations of Order, and if unions use physical force such as assault or threats, they will be charged with obstruction of official duties.

Lee Jeong-han, Director of Labor Policy at the Ministry of Employment, emphasized, "Keeping and preserving accounting-related documents in union offices is a fundamental responsibility of unions to guarantee the members' right to know," adding, "While strictly responding to legal violations, we also plan to promote institutional improvements to supplement the limitations of current laws."

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