Kakao Union Demands 10% of Operating Profit, Raising First HQ Strike Risk

Kakao, one of South Korea’s leading information technology companies, is facing the risk of a headquarters strike for the first time since its founding. The Kakao branch of the Korean Chemical, Textile and Food Workers’ Union is demanding that employees receive performance bonuses equal to at least 10% of operating profit, citing a demand similar to SK hynix. The issue puts Kakao’s headquarters union in a dispute with management over standards for performance-based compensation and is drawing attention amid broader bonus debates in the Korean IT industry. Whether the demand is accepted and whether talks move toward a strike remain key issues. Source: mk.co.kr