POSCO faces first strike in 58 years amid wage deadlock

POSCO faces the possibility of its first strike in 58 years as labor negotiations over wage and collective agreements reach a deadlock. The POSCO labor union has announced a 48-hour partial strike scheduled to begin on September 9, targeting parts of the Pohang and Gwangyang steelworks.

The union is demanding a 7.1% increase in base pay, along with various bonuses and employee stock options. In contrast, management has proposed a 2.0% base pay increase and specific performance incentives. Beyond wages, the union is raising concerns regarding labor shortages, long working hours, safety issues, and the impact of recent direct hiring decisions on existing staff welfare.

Union leader Kim Seong-ho recently engaged in a symbolic head-shaving protest to signal the intensity of the struggle, calling for direct intervention from POSCO Group Chairman Jang In-hwa. If negotiations do not progress, the union has threatened to expand the strike to 120 hours starting September 16, with the possibility of a full-scale strike in October. Tensions have also escalated following reports of physical altercations between union officials and company management at the Pohang steelworks.