Seoul: Unionized workers at South Korean steelmaker POSCO initiated a second partial strike on Wednesday, following unsuccessful wage negotiations with the company's management. The 120-hour walkout began at 7 a.m. at POSCO's steel plants in Pohang and Gwangyang, as confirmed by the union.
According to Yonhap News Agency, the union expressed willingness to halt the strike before the five-day period concludes, provided that POSCO presents an acceptable proposal. Union spokesperson Yi Jae-hyuk stated over the phone, "We will call off the strike before the end of the five-day walkout if the company comes up with an acceptable proposal."
POSCO employs approximately 17,000 individuals, with around 10,100 being union members. The current strike follows a preceding 48-hour walkout that began at 7 a.m. last Wednesday, involving 120 workers. This marked the first strike by POSCO workers since the company's inception in 1968.
The union highlighted that the second strike is likely to cause inevitable disruptions, as participation has doubled compared to the initial strike. However, POSCO maintained that significant disruptions to plant operations are not anticipated, with about 60 workers from each of its Pohang and Gwangyang plants expected to partake in the strike.
The union's demands include a 7.1 percent increase in base pay, a performance bonus amounting to 600 percent of base pay, 50 company shares per worker, and a holiday bonus equivalent to 200 percent of base pay. Beyond wage increments, the union has also raised concerns over staffing shortages and outdated facilities, which they argue could pose safety risks.
In contrast, POSCO's management has offered a 2 percent increase in base pay, illustrating a significant gap between the two parties' positions on key wage demands.