Mando Fined for “time-off” rule as First Major Company

By Park Sae-jin Posted : March 24, 2011, 13:00 Updated : March 24, 2011, 13:00
Mando, South Korea’s leading auto parts maker was fined for violating a labor law that limits wage payments to full-time unionists, Yonhap news agency reported on Thursday citing court officials.

The company became the first one to be fined for the violation in South Korea after a court ruled that against Mando.

Under the new union regulation that took effect last July, employer can only pay wages to a certain number of unionists who are devoted to labor affairs on a full-time basis.

According to the news agency, Mando, which has as many as 3,800 employees, has had to permit only five full-time unionists under so called “time-off system.” However, the company has been paying a total 15 union members and allowing them to use three company vehicles.

Prosecutors in January charged Mando’s management and labor union leader with illicit wage payment. Under the law, violators face up to two years in jail or a fine of 20 million won.

In a summary trial held early this month, the Suwon District Court fined Mando’s chief executive and labor union official 15 million won and 10 million won, respectively, for violating the regulation, Yonhap added.


(아주경제 송지영 기자)

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