The labor and the management in major multinational pharmaceutical companies in Korea clash head-to-head. The management has begun the early retirement program (ERP) in a full scale, and the labor strongly objected, arguing it was actually a restructuring under the guise of voluntary severance.
Currently, multinational pharmaceutical companies that has fully implemented the ERP include GSK Korea, Pfizer Korea and Novartis Korea.
The National Pharmaceutical & Bio Labor Union (NPU) representing the labor issued a statement on August 25th and strongly criticized the management's ERP.
The NPU claimed in the statement, “The ERP implemented around major multinational pharmaceutical companies is actually coerced human resource restructuring of employees.
It is unilaterally enforced voluntary severance, and the management is also exhibiting unreasonable behaviors in wage bargaining and collective bargaining that go against common sense.”
The main argument of the NPU is that multinational pharmaceutical companies are carrying out coerced restructuring of their employees in the name of the business model shift despite having achieved the record sales owing to COVID-19 vaccines and treatments.
An official from the NPU said, showing a hard-line stance, “The reason why this unprecedented situation has occurred is because there are forces that lead it.
Those forces are employers' interest representatives of some HR. We condemn those who deny and ignore unions as a counterpart, and will carry out a movement to oust the forces leading this so that they can never establish themselves again in the industry.”
Under these circumstances, the union of GSK Korea issued a statement and criticized the management’s stance strongly.
The union of GSK Korea argued that the ERP is for the layoff due to outsourcing of specific departments, and according to Article 21 of the collective bargaining agreement, an agreement should be reached with the union in principle when a layoff is implemented due to unavoidable business circumstances. The union raised their voice, claiming the management only notified the union 30 minutes before surprise announcement of the ERP without any prior discussion.
In response, GSK Korea explained that it had realigned its sales organization to establish a sustainable business model and implemented a voluntary ERP accordingly.
An official from GSK Korea said, “Through this realigning, we will optimize our organization as the one that can promote our innovative portfolio and strengthen our competitiveness based on differentiated scientific capabilities.“
[WIKI KOREA=Cho Pil Hyun, Staff Reporter]
chop23@wikileaks-kr.org
