
Legal Q&A
Q
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Recently, in the course of collective bargaining, the trade union has been giving notice of industrial action, demanding a substantial increase in honorary retirement pay and the expansion of various allowances. I am curious by what criteria the legitimacy of industrial action is judged and how I, as the company's representative, should respond.
Industrial action
Answer
Published:
Author : Kuk Il KIM
Hello. This is an attorney specializing in corporate matters at Daeryun Law LLC.
Industrial action falls within the scope of the constitutionally guaranteed right to collective action of a trade union, but not all industrial action is automatically recognized as legitimate.
The legitimacy of industrial action is judged by comprehensively examining the substantive requirements, the procedural requirements, and its actor, purpose, and means.
First, substantively, a state of labor dispute must exist. In other words, a disagreement between labor and management over the determination of working conditions must be presupposed.
Procedurally, the requirements demanded by the Trade Union and Labor Relations Adjustment Act, such as the mandatory prior mediation procedure and a members' vote for or against, must be satisfied; however, meeting these procedures does not immediately mean that the legitimacy of the purpose is also recognized.
For the purpose of industrial action to be legitimate, first, it must be directly or indirectly related to the maintenance and improvement of working conditions, within a scope that does not deny the system of private property.
Second, it must be a matter within the scope of what the employer can dispose of.
Third, it must be a matter concerning a collective interest dispute. Where it falls outside these requirements, the legitimacy of the purpose may be denied.
In particular, where multiple demands are presented in industrial action, even if some demands appear on their face to concern working conditions, if the actual principal purpose lies in opposing the employer's managerial authority or the state's policy decisions, its legitimacy is assessed differently.
If the legitimacy of industrial action is denied, the action may be assessed as unlawful industrial action, and accordingly it may extend to issues of civil liability for damages, liability for obstruction of business, and criminal liability.
Conversely, care must also be taken in the manner of response so that the company is not mistakenly regarded as having committed an unfair labor practice.
From the company's standpoint, a response is needed that structurally analyzes the substantive content and true purpose of the collective bargaining demands, legally reviews whether the demands fall outside the scope of what the employer can dispose of, and, if industrial action begins, closely examines whether its means and methods exceed legal limits.
Because the legitimacy of the purpose is the key issue in industrial action, it is advisable to examine the legal structure of the industrial action and establish a response strategy before the dispute fully escalates.
Our firm provides professional advice on all aspects of corporate labor matters, including judging the legitimacy of industrial action, establishing collective bargaining strategies, responding to unlawful industrial action, and claims for damages.
We recommend obtaining a structural review with the help of Daeryun, ranked ninth among law firms in Korea (based on 2025 value-added tax filings with the National Tax Service), at the stage before the dispute escalates.

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Kuk Il KIM
T. 070-5117-2950
Experience as Chief Prosecutor at the Seoul High Prosecutors' Office · Attorney Specializing in Criminal Law/Drugs/Intellectual Property

KeJun SON
T. 070-5117-3709
Career as Fair Trade Commission Official / Partner Attorney at Lee & Ko · Attorney Specializing in Fair Trade/M&A/Corporate Legal Affairs/Finance
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