Fresenius labor union conflict with management intensifies

Co-convened press conference with UNI-Global Union on Feb. 21

Denouncing the company violating Labor Standard Act, “To initiate labor strike if talk falls through”

The conflict between labor union and the management of Fresenius Medical Care (FMC) has emerged as the union intensified the fight against the management, who has been uncooperative in paying employees over 14 months and inking an agreement.

 

Korea Democratic Pharmaceutical Union’s FMC Chapter has co-convened a press conference with UNI-Global Union on Feb.

 

21 at a National Assembly conference hall and denounced the company’s violation of Labor Standards Act.

 

Headquarters in Bad Homburg, Germany, Fresenius is a large healthcare company earning EUR 30 billion annually from 100 countries around the globe.

 

The company has 290,000 employees at the moment.

 

Fresenius Kabi Korea, mainly supplying nutritional supplements in Korea, and Fresenius Medical Care, providing kidney dialyzer, dialysate, and dialysis service, are two business branches in Korea.

 

The FMC Korea Chapter was founded in November, 2018, as a part of Korea Democratic Pharmaceutical Union, consisting of Korean pharmaceutical industry employees.

 

Currently, 140 employees of FMC Korea are part of the chapter.

 

Banners denouncing FMC violating the Labor Standards Act are hung in front of FMC Korea office located in Gangnam-gu, Seoul

UNI-Global Union claimed, despite high-income structure of FMC, the company has not paid the Korean employees for their overtime and paid-vacation.

 

And even after two years since the labor union was founded, the company has been refusing to discuss basics like recognition of labor union and time-off for the union staff, and deliberately delaying the negotiation procedure.

 

UNI-Global Union official urged, “We have been reported by the Korean employees at FMC that the company has not responded to their request to negotiate with disrespectful attitude.

 

We have confirmed that the management is persisting on basic rules in negotiating various benefits, such as the labor union’s participation in Penalty Committee, and overtime, night-work and paid-vacation payment.” The official added, “Not only has the management violated basic positive law, like providing a labor union office space and time-off for the union staff, but also it tried to minimize the membership of the union.

 

Such deeds of gravely violating labor rights are unforgivable.” According to the provided statement, FMC labor union has conducted 20 sessions of negotiation with the management over 14 months, but the talk fell through on Feb.

 

6.

 

On Feb.

 

10, the union has requested National Labor Relations Commission Seoul Office for arbitration.

 

The first session was convened on Feb.

 

18, but no progress has been made.

 

In last May, the company’s malpractice was reported to Ministry of Employment and Labor, which indicted the company for violating the related law and transferred the case to prosecutors.

 

The FMC labor union plans to initiate strike against the management if it fails reach the middle ground at the second arbitration session scheduled on Mar.

 

2.

 

Already 97 percent of 140 members have agreed to join the fight.

 

Kim Gyu-nam, the FMC Chapter Head of Korea Democratic Pharmaceutical Union, reproached the company that “A German company with advanced labor relations culture has been ignoring an enforced labor law in Korea and refusing to recognize the labor relations.

 

Over 70 employees are suffering from 30,000 hours of overtime every year.

 

In payment, it would be worth around 600 million won.” Kim argued the management has never acknowledged the existence of the labor union by ignoring the duty of the labor union head, limiting labor union membership, and enforcing Early Retirement Plan (ERP) on employees working over 15 years.

 

These are direct violation of Article 56 of the Labor Standard Act.

 

Prior to Fresenius stockholders’ general meeting scheduled in coming May, UNI-Global Union forewarned of globally voicing the malpractice of Fresenius management at a forum co-organized by UNI, PSI, and IndustriALL.

 

The forum would denounce the suspected tax avoidance of Fresenius executives and urge them to honor the labor rights.

 

UNI-Global Union is the world’s biggest labor union, specifically protecting office workers in finance, mass media, IT, commerce, media and entertainment, postal service, sports and game industry.

 

It represents 15 million members from over a thousand labor unions in 120 countries.

 

Regarding the talks between the management and the union, the German company official was unable to provide detailed comments.

 

FMC official said, “The management has continued to engage with the labor union to find the best means for everyone in past one year.

 

And we have reached agreement on some of the topics.

 

We respect their establishment and activity of the union, according to the Korean law.

 

The company would continue to strive for consolidating advanced labor relations and to settle one an agreement.”