Korean workers strike for jobs

By Eva Cheng

Led by the Korean Confederation of Trade Unions, about 121,000 workers on July 14-15 to struck against the bosses and government's escalating push to cut jobs.

The strikers' ranks grew from the 55,000 on the first day despite the government's arrest of a union leader, the issuing of arrest warrants for four dozen more and other intimidatory acts, like surrounding a union office with hundreds of riot police.

On July 15, students joined striking workers in a 10,000-strong rally outside the Myongdong Cathedral in Seoul, where some labour leaders were taking refuge, surrounded by thousands of riot police.

Members of heavy industrial unions — including Hyundai Motors, Daewoo Motor and shipbuilder Daewoo Heavy Industries — were the main participants on the first day, joined later by public sector workers.

However, the Korean Federation of Banks and Financial Unions backed off from joining on July 15 after a discussion with management. The union of the state-owned Korea Telecom, which is affiliated to the pro-government umbrella union body, the Federation of Korean Trade Unions, also cancelled its plan to join in on July 15.

The strike actions were triggered by the government's failure to honour an earlier agreement to fully consult the unions on major retrenchment plans. Attacks on jobs and conditions have stepped up sharply since South Korea's economic crisis exploded last November. Illegal dismissals, overdue wages and attacks on unions escalated while bosses unilaterally slashed 20-40% off nominal wages whose purchasing power was already eroded by high inflation.

The KCTU called off a general strike for June 10 in exchange for the government's commitment to discuss an arrangement for unions to be consulted on major corporate restructurings.

The government totally ignored this deal in its recent plan to privatise major utilities, such as the Korean Telecom, Pohang Steel and Korea Tobacco, and to close down five banks. More than 10,000 bank workers will immediately lose their jobs. Shortly after, Hyundai Motors declared its plan to sack 5000 workers in late July.

According to KCTU international secretary Yoon Youngmo, the government has arranged for its bad loan collection agency — Korea Asset Management Corporation — to take over all bad loans of the five closed banks, which amounts to using public money to rescue bad business decisions, while uttering not a word on what to do with the 10,000 affected workers.

Four thousands of them camped for days in pouring rain in early July outside the Myongdong Cathedral in protest, but the government declared them criminals for "obstructing business".

From GLW issue 325