Wage negotiations collapse as union vows escalating action
The Posco labor union, affiliated with the Federation of Korean Trade Unions' metal workers' federation, announced Saturday that it will launch an indefinite strike with plans for escalating action starting at 7 p.m. on Nov. 2.
"Negotiations were held, but the company's position on key issues did not change, making an agreement impossible and causing talks to collapse," the union said. "The attitude shown by management led the union to decide on an indefinite strike."
Posco's labor and management held wage negotiations on Friday but failed to reach an agreement. The union had called for a 7.1 percent increase in base pay, a 600 percent incentive bonus, 50 shares of employee stock, and a 200 percent holiday bonus.
Management's most recent offer included a 2.5 percent base pay raise, a one-time payment of 5 million won ($3,770), and a holiday bonus of 1 million won plus 10 percent — to be raised to 15 percent from 2028.
With the two sides unable to find common ground in wage negotiations, the union staged two rounds of partial strikes last month.
The company said that if the union proceeds with industrial action, it will adjust production plans and activate an emergency operations system to minimize disruptions and prevent any impact on customers and domestic industries.
The union is also moving to collect special membership fees from members not participating in the strike to build up a strike compensation fund ahead of the indefinite walkout.
joze@heraldcorp.com
