[2010/02/04]

Agreed to develop labor-management relations 

Labor union(President Kim, Eung Seok) and management(CEO Kim, Kwang Hyun) of Koscom said that they held an 'Announcement Ceremony for an Advanced Labor-Management Relations' and agreed to develop their relations complying with the government's policy on February 4.

They agreed to reduce about 10% of union members by counting out employees working in management parts such as HR, labor, planning, etc.
They also agreed to reduce salary by 5%, trim a variety of welfare system such as obligatory use of annual leave, and eliminate or revise five articles with room for union's participation in management.

Especially, the reduction of union members and revision of 5 articles are highly evaluated as the leading case of advancing the labor-management relations of public institutions.   

Last year, Koscom reduced its department and employee by 26% and 10% respectively. And based on the additional agreement between labor and management, Koscom plans to complete the development project of labor-management relations within the year by implementing high degree of management innovation such as wage system reforms like a differentiated payment scheme according to performance and HR restructuring. 

Kim, Kwang Hyun, CEO of Koscom said, "The agreement represents the substantial  efforts of labor and management for the policy to advance public institutions whose aim is to contribute to the industry and society as well as to become a reliable company with public trust. In this regard, it's meaningful to have offered a new vision for labor-management relations. And I appreciate the trust labor union has showed to the management from a broad perspective of corporate development."

He also added, "The labor and management has shared the social integration win-win philosophy by excluding the former temporary workers who became regular ones last year from a list of a wage reduction. And about 3 billion won of annual savings by a pay cut of management and employees will be used to expand CSR(Corporate Social Responsibility) activities and employment of new employees and interns.

Kim, Eung Seok, chairman of labor union expressed, "I think that the agreement will be helpful for Koscom to be a reliable partner in the industry and keep prosperous. And I hope it will lay the groundwork for sustained growth of our company."

Koscom, making money through sales, unlike other public institutions, dramatically reached a settlement on temporary worker issue in late 2008 and achieved the biggest operating profit through active sales activities and cost reduction in 2009. (The End)