POSCO union wins legal strike right after wage talks break down

POSCO's union has secured the legal right to strike after South Korea's National Labor Relations Commission halted mediation on the 18th following a third session in this year's wage talks. The union sought full-scale negotiations on the 20th after first approaching management on the 19th, but said management rejected the request and proposed further working-level discussions. The dispute threatens POSCO's 58-year record without a labor dispute since its founding in 1968. The union approved industrial action with 92.17% support on 97.09% turnout last month and is demanding a 7.1% base-pay increase, a 600% incentive payment, 50 employee shares and a 200% holiday bonus. POSCO says fully accepting the package would cost about 1.4 trillion won ($1 billion), roughly twice last year's amount, while the company has offered a 1.5% pay increase, incentives and other benefits. The union has not immediately begun a walkout, but its latest statement signals that it may no longer seek talks first, increasing pressure on both sides to resolve the dispute before action disrupts steel supplies to manufacturers.

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