Seoul:Unionized workers at the South Korean steelmaker POSCO have rejected a tentative wage agreement that proposed a 2.6 percent increase in base pay, as confirmed by union officials on Saturday.
According to Yonhap News Agency, the vote revealed that 51.69 percent of the unionized workers opposed the wage agreement, while 48.31 percent approved it. The rejected deal included a 2.6 percent hike in base pay, a one-off payment of 6 million won (approximately US$4,500), and improved benefits.
The union initially demanded a 7.1 percent increase in base pay, a performance bonus equivalent to 600 percent of base pay, 50 company shares per worker, and a holiday bonus equivalent to 200 percent of base pay. A union official indicated that renegotiations might be necessary due to the significant opposition to the agreement.
The tentative agreement was reached on October 30 after approximately 30 rounds of talks between the union and management, ongoing since June. The unionized workers had previously staged two rounds of partial strikes in September, demanding higher wages and bonuses.