The trial of former and current heads of CFS indicted by the standing special prosecutor over allegations that Coupang Fulfillment Services (CFS) failed to pay severance to day laborers began on the 6th. The key issue is expected to be whether CFS sought to avoid its obligation to pay severance by artificially breaking day workers' continuous service periods, and how far the illegality of the so-called "reset rule" will be recognized.
The Seoul Central District Court Criminal Agreement Division 27 (Presiding Judge Woo In-seong, Director General judge) on this day held the first court hearing for Eom Seong-hwan, former CFS human resources institutional sector head, Jeong Jong-cheol, CFS legal institutional sector head, and the CFS corporation, who were indicted on charges of violating the Act on the Guarantee of Workers' Retirement Benefits. Eom and others are accused of changing the work rules on May 26, 2023, to prevent day workers from receiving severance pay. The standing special prosecutor overturned the Bucheon Branch of the Incheon District Prosecutors' Office's decision not to indict and brought them to trial in about two months after opening the investigation.
The crux of the indictment is the change to the work rules. The standing special prosecutor believes CFS newly established a provision that resets all prior continuous service periods if there was any period in which the 4-week average was fewer than 15 working hours per week, even if the worker had worked for more than a year, and sought to narrow the pool of those eligible for severance through this. The office also judged that, from Apr. 1, 2023, CFS unilaterally changed the severance criteria without seeking day workers' opinions and without obtaining external legal advice.
Before opening statements began in earnest, the scope of harm and the plan for future proceedings were first organized in court that day. The defense for Eom and others said severance had been paid to 15 of 21 retirees. The court told them to submit letters of non-punishment if any among them do not wish punishment. The defendants also said that some of the remaining individuals were not eligible for severance in the first place.
The defense also made clear it would contest the standing special prosecutor's calculation method. The attorney said, "There are parts that differ from the standing special prosecutor's assumptions regarding each worker's period of employment, amounts, and work patterns," adding, "Once those parts are sorted out, the need for witness examination will become clearer." The court said, "Specify in writing which parts for which workers differ and submit it."
The scope of witnesses is also a future point of contention. The defense left open the possibility of examining not only the workers themselves but also company officials and public officials. The court said that once the related filings are submitted, the standing special prosecutor will file a response, and based on that it will organize, at the next date, the scope of evidence admission and witness selection.
The court set the next hearing for 11 a.m. on May 22.