Ongroup's appeal for defamation filed in response to a request for "responsibility for unpaid wages" is dismissed.

The group's lawsuit filed on the grounds that the group's request for moral responsibility from the group's chairman and others for unfair dismissal and unpaid wages that occurred at an asset company under the group amounted to defamation was also dismissed by the appeals court.

According to the legal community on the 9th, the 5th Civil Division of the Busan High Court (Chief Judge Jae-wook Lee) dismissed the appeal of the defamation suit filed by Ongroup Foundation Chairman Jeong Geun and Ongroup Medical Foundation Chairman Yoon Seon-hee against four dismissed Ongroup Asset employees. In the first trial, which was sentenced on March 26, the court also dismissed Ongroup's claim.

Ongroup has claimed that its image has been tarnished due to false issues raised by employees. The intention is that even though ‘Ongroup Asset’ notified the employees of the dismissal, responsibility was passed on to ‘Ongroup’. Ongroup Asset is an asset management company established in August 2023, and the largest shareholder is Ongroup.

Ongroup Asset was closed down due to difficulties registering as an asset management company. Meanwhile, in January of last year, the company fired its employees with a single text message saying, “Due to management difficulties, we will be closed indefinitely and are being laid off.” Employees held a rally against Chairman Chung and others to stop layoffs and liquidate unpaid wages worth 42 million won. The illegality of the unfair dismissal case was recognized in April last year when the Busan Labor Relations Commission accepted the employees' request for relief.

The first trial court determined that responsibility for unfair dismissal lies with the shareholders or affiliates (On Group) who decided to close On Group Asset. Chairman Chung and Chairman Yoon each own 25% of Ongroup Asset, and Ongroup owns 50%. Based on this, the court judged that it was highly likely that the decision to close the business was based on their wishes and did not accept the request.

Attorney Jeong Woo-young of Daeryun Law Firm, who represented the employees, explained, "The employees have never expressed that the party responsible for the non-payment of wages was On Group. However, they only asked On Group, the majority shareholder, to take responsible action. While the employees are workers, the Chairman of On Group is the majority shareholder and a prominent doctor who runs a large hospital in the Busan area, so it was accepted that the employees' protest was in fact a last resort."

Reporter Shin Sim-beom meets@kookje.co.kr

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Ongroup's appeal for defamation filed in response to a request for "responsibility for unpaid wages" dismissed (link)