POSCO union votes down tentative wage deal

Unionized workers at Korean steel manufacturer POSCO rejected a tentative wage agreement proposed by management on Saturday, according to union officials. The vote indicated that 51.69 percent of the unionized employees opposed the agreement, while 48.31 percent supported it. The tentative deal proposed by management included a 2.6 percent raise in base pay, a one-time payment of 6 million won ($4,500), and enhanced benefits.

The union had originally sought a 7.1 percent increase in base pay, a performance bonus equal to 600 percent of base pay, 50 company shares per employee, and a holiday bonus equivalent to 200 percent of base pay. A union representative stated that it is likely that the union and management will need to commence renegotiations due to the significant opposition to the tentative wage deal.

POSCO workers engaged in two rounds of partial strikes in September to demand higher wages and bonuses. The union and management had reached a tentative wage agreement on October 30 after conducting around 30 negotiations since June.