The Power of Majority Labor Unions

Isabelle: “The more employees that join a union, the more powerful it becomes. Especially according to Korean labor law. If more than 50% of employees join a union, their power increases significantly.”

Justin: "What happens if 50% of a company’s employees join the union?"

Isabelle: "In that case, it becomes a Majority Union, gaining substantial legal power. This includes general binding force of the collective bargaining agreement (CBA), representation in the Labor-Management Council (LMC).”

Justin: "So at this point the CBA covers all employees, even non-members?"

Isabelle: "Exactly, that's the general binding force."

Justin: "Does this change the union’s status with the company?"

Isabelle: "Yes, the majority union acts as the employee representative in the LMC. With this, they gain authority to request information including the company’s financial situation, that are generally not available to the public.”

Justin: “Are there any implications for the rules of employment?

Isabelle: “Yes, the company would also need the consent of the majority union for detrimental changes to the Rules of Employment (ROE)."