Kakao Union Announces First-Ever Headquarters Strike Over Management Failures, Job Security

Kakao's labor union is set to stage its first-ever strike at the company's headquarters on June 10. The union plans a four-hour partial work stoppage and a rally in Pangyo, raising concerns about potential disruptions to key services such as KakaoTalk.

The core demands revolve around accountability for alleged management failures, which the union claims have led to "sale, spin-offs, and restructuring," jeopardizing job security. They also criticize the current compensation system, arguing that management benefits disproportionately while causing employment instability.

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We will stop the continuous management failures leading to sale, spin-offs, and restructuring and secure employment stability as our core demand.

This escalation follows failed negotiations over performance-based pay, including the inclusion of restricted stock units. After two rounds of mediation collapsed, the union secured the legal right to strike. While the Korea Employers Federation warned that profit-driven strikes could be illegal, the union maintains its action is justified by the need for "management responsibility and employment stability."

Despite recent apologies and organizational changes initiated by Kakao CEO Kim Jeong-a, the company argues that the union's compensation demands would impose a significant financial burden.

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We must improve the compensation system centered on management, which causes employment anxiety due to wrong decisions and monopolizes overwhelming compensation.