South Korean entities face labor disputes over primary contractor bargaining rights

Labor disputes regarding the role of primary contractors are escalating in South Korea following the implementation of the amended Trade Union and Labor Relations Adjustment Act, commonly known as the ‘Yellow Envelope Law’.

In Incheon, Bupyeong-gu has filed an administrative lawsuit against the National Labor Relations Commission (NLRC) to contest a ruling that recognizes the district as a primary employer. The NLRC determined that the district holds substantial control over waste collection and transportation workers employed by subcontractors. Bupyeong-gu is seeking a stay of execution to avoid announcing the union's collective bargaining demands while the legal battle proceeds.

Simultaneously, workers at subsidiaries of the Incheon International Airport Corporation have applied for labor dispute mediation after negotiations with the parent corporation collapsed. The union, representing workers from three subsidiaries, accused the corporation of evading bargaining responsibilities. In response to the impasse, the union has announced a warning strike scheduled for October 23, following the National Assembly's audit of the corporation.