KakaoBank(323410) The labor union carried out a second strike on the 14th. It came two weeks after the first strike at the end of last month. The union set the strike date to coincide with KakaoBank's annual in-house tech conference, "Code Runner." But as all KakaoBank services operated normally without issues on the day of the first strike, the second strike also had minimal impact. The union had planned to use the strike as leverage to enter talks with management, but with the strike's limited effect, management is not actively engaging.
According to the financial sector on the 15th, KakaoBank's union has actually lost ground since the strike. The first strike at the end of last month was the first ever in the domestic internet banking industry, but it failed to prompt movement from management and ended quietly without much attention inside or outside the industry. Internally, some said, "The office was as quiet as any vacation season."
Management has not entered wage and collective bargaining talks with the union since the first strike. An industry official said, "Even though 700 out of KakaoBank's 1,800 employees joined the first strike, it was clear there was little impact. Management appears to have no reason to bow its head and agree to talks."
There is discontent within the union. Wage and collective bargaining has dragged on for eight months since January this year. While the union leadership said, "Management is not actively engaging in talks," members are not convinced. One member said, "In a company that runs without issue even if more than half the staff is out, would methods like mass use of annual leave be effective? It feels like we're fighting in a way that cannot win."
The union leadership warns that if there is no change after the second strike, it could escalate the dispute to a level that directly affects banking operations. KakaoBank's union has about 1,000 members, or 55% of the total workforce.
Earlier, Kakao(035720) headquarters also wrapped up wage and collective bargaining after the union backed down. On Jun. 10, Kakao headquarters held its first strike since its founding. About 1,000 out of roughly 4,000 employees participated, but it had little effect. The union demanded 13%–14% of operating profit (more than 10 million won per person) as a bonus but agreed to receive 3 million won as a "special encouragement payment."
KakaoBank labor and management remain far apart on the size of bonuses, annual salary increase rates, and overall terms. According to the industry, management proposed paying a bonus equivalent to about 10% of operating profit by combining cash and treasury stock, but the union asked for more. Talks over the annual salary increase rate have proceeded around the high-6% range, but differences remain.
A KakaoBank official said, "We are operating the necessary response system to avoid customer inconvenience and will continue talks with the union for a swift agreement."