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Venture Capital Company Suppresses the Labor Union,
Taking Advantage of Special Exemption from Military Service

One venture capital company is trying to abolish the labor union, taking advantage of the employees' special exemption from military service.

On May 3rd, the labor union, (Chairman, Sangho Lee) of Multi Data System Inc. (Representative Director, Taeho Lee) revealed, "When the collective bargaining failed and the labor union petitioned for arbitration of labor dispute, the company took advantage of the workers' status under 'Special Case in Military Service,' and applied for revocation of its license to employ workers who have been specially exempt from military service." In this company, among the 15 members of the union, 9 fall under the "Special Case in Military Service," and if the company's license for employing workers with special exempt status gets revoked, all of these workers who fall under the special case will have to leave the company. And if they do not find work again at another company with such license within a certain period, they will have no choice but to enter the military.

The labor union of Multi Data System Inc., organized last February, has been conducting a collective bargaining, asking for permission to conduct union activities, stable employment, and solution of the low wage/excessive labor problem. However, all ten collective bargaining conferences came to a rupture due to the refusal of the president, and therefore the labor union asked for arbitration of labor dispute to the Seoul District Labor Committee on April 27th. Then, on April 28th, just one day after this petition for arbitration was submitted, the company applied to the Office of Military Manpower to revoke the company's license for employing workers with special exempt status under "Special Case in Military Service."

Sangho Lee, the union chairman, criticized the company, "Six executives of the union, including me, are exept from military service, falling under the Special Case. The company's action is unfair labor practice, aimed to dissolve the labor union." Accordingly, on May 3rd, the labor union submitted a petition to the Seoul District Labor Committee, to deny the company's application for revocation of its license for employing workers exempt from military service under "Special Case in Military Service." Depending on the decision rendered at the Labor Committee, the union plans to begin labor struggle next week.

Youngman Moon, director of the head office of the Korean Confederation of Trade Unions in Pusan, remarked, "The problem lies in that the Office of Military Manpower accepts the application for revocation of the license to employ military exempt workers without inspecting the case properly, although the company is applying for such revocation to suppress workers. The Office of Military Manpower should be more circumspect in making its decision, and the Ministry of Labor should dispatch a special labor inspector to investigate the business premises correctly."

The laborers of Multi Data System Inc. have been receiving only four hundred thousand Won a month during the three-month training period, and only six hundred fifty thousand Won after two years from entering the company. Furthermore, overtime work has been considered general practice, and workers have been over-worked, "coming to work on Monday and going home on Saturday."