Unionized Kakao workers to 'log out' from office in second collective action

Some 3,000 unionized Kakao workers are set to take a day off in protest on Monday, as the company's labor union and management have failed to narrow their differences over performance-based incentives.

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Members of the Kakao branch of the Korean Federation of Chemical, Textile, and Food Industry Workers' Union march during a rally condemning the company's wage-increase rate and performance-based compensation system in Pangyo in Seongnam, Gyeonggi, on June 10.

Unionized Kakao workers are set to take a day off en masse on Monday in protest, following a continued gridlock in wage negotiations.

In their second collective action, unionized members will stage what they call a "Log-out Day" by simultaneously taking annual leave.

Some 3,000 workers from five Kakao units — including its headquarters, Kakao Pay and Kakao Enterprise — are expected to participate, industry watchers said.

Wage talks between Kakao's labor union and management have been at a standstill since May after the two sides failed to narrow their differences regarding performance-based incentives.

The union is reportedly demanding that the company pay around 13 to 14 percent of operating profit as bonuses. Management has rejected those demands, claiming they place too much of a burden on the company.

On June 10, workers staged their first-ever strike. Some 1,500 union members walked away from their jobs for four hours and rallied near the company's headquarters in Pangyo, south of Seoul.

Industry watchers are closely following the latest industrial action and whether it could disrupt Kakao's key services, such as the popular messenger app KakaoTalk.

Kakao's management said that it plans to continue negotiations with the union while remaining on standby to ensure stable service operations.


Yonhap