Naver Union Rallies After Passage of Landmark Labor Law, Pressing Parent Company on Pay Talks | Be Korea-savvy

Naver Union Rallies After Passage of Landmark Labor Law, Pressing Parent Company on Pay Talks


Workers from six subsidiaries say the tech giant must assume responsibility for stalled wage negotiations under the broadened definition of “employer.” (Yonhap)

Workers from six subsidiaries say the tech giant must assume responsibility for stalled wage negotiations under the broadened definition of “employer.” (Yonhap)

SEOUL, Aug. 27 (Korea Bizwire) — Naver’s labor union staged its first rally since the passage of the so-called “Yellow Envelope Law,” demanding that the tech giant take direct responsibility for stalled wage negotiations across its subsidiaries.

At a demonstration outside Naver’s Green Factory headquarters in Seongnam on Wednesday, workers from six wholly owned or majority-owned affiliates — including Green Web Service, Studio Rico, NIT Service, NTS, InComms and ComPartners — called for the company to fold special incentives into base salaries, raise annual pay more fairly and honor collective bargaining rights.

Talks at those firms have broken down in recent months, with Studio Rico failing to reach a wage deal this year and five others unable to conclude wage or collective bargaining agreements. All six units have secured the legal right to strike after labor commission mediation.

The rally came just days after the National Assembly passed revisions to the Trade Union and Labor Relations Act — known as the Yellow Envelope Law — which broaden the legal definition of “employer” to include companies with effective control over labor conditions at affiliates or contractors.

The change bolsters the union’s long-standing demand that Naver negotiate directly with its subsidiaries’ workers rather than leaving talks to each legal entity.

“Naver has 100 percent ownership and exercises control over personnel and operations,” said Oh Se-yoon, head of the Naver union branch. “It cannot evade responsibility as the real employer of these workers. As the leader of Korea’s IT industry, it should show accountability for all of its employees.”

The rally drew solidarity from unions at other major tech companies, including Kakao and Hancom. “You cannot talk about Naver without advertising, search, webtoons, shopping or Pay,” said Jung Kyun-ha of the Hancom union. “Why then does Naver not recognize the contribution of its subsidiaries?”

The union, established in 2018, has repeatedly sought integrated bargaining with the parent company, but Naver has resisted, insisting on company-by-company negotiations. With the new law in place, labor leaders say the balance of power has shifted.

M. H. Lee (mhlee@koreabizwire.com)

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