Kakao Union Stages Four-Hour Strike in South Korea Over Pay and Bonus System
Unionized workers at South Korean tech firm Kakao held a four-hour strike and rally on June 10, demanding job security and changes to the company's bonus system. The dispute reflects broader labor unrest in South Korea as some companies report record earnings amid an AI boom, with Samsung's union recently securing a profit-linked bonus deal. The strike highlights tensions over compensation equity, with workers arguing that only executives have received bonus increases while other employees have seen limited benefits.
On June 10, approximately 1,200 unionized workers at Kakao, which operates South Korea's largest messaging app, participated in a four-hour strike and rally near the company's Pangyo headquarters. The workers are demanding job security and reforms to Kakao's bonus system, arguing that compensation increases have been limited to executives while other employees have been excluded from recent gains. This labor action follows failed government-mediated wage negotiations in May and reflects growing labor unrest across South Korea's economy as companies report record earnings during a global AI boom. The dispute mirrors recent labor victories at Samsung Electronics, whose union secured a deal tying chip division bonuses to 10.5 percent of operating profit. Kakao management rejected the union's profit-sharing demands as unrealistic but stated it would continue negotiations to reach an agreement. The company, which employs approximately 6,000 workers, activated a real-time response system to manage the strike's impact.
What different sources said
- Channel NewsAsiaCenter
Kakao union stages four-hour strike and rally in South Korea over pay
- UPICenter
Unionized members at Kakao stage first-ever strike
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