Korea Post's unionized postal delivery workers under the Korean Confederation of Trade Unions (KCTU) hold a press conference in Yongsan District, Seoul. May 25. Korea Times file

By Lee Kyung-min

The planned national strike by unionized postal delivery workers under the Korean Confederation of Trade Unions (KCTU) is adding fuel to the ongoing logistics crisis initiated by cargo truckers, according to market watchers, Tuesday.

The plan to begin the general walk-out Saturday announced by about 1,500 workers at Korea Post (KP) is expected to amplify fears of major economic activities grinding to a halt, with key manufacturing industries hit by the truckers' weeklong strike already cornered and searching for costly alternative delivery methods or experiencing steep losses in the short term ― if not outright losses of business contracts with major clients.

According to the Ministry of Trade, Industry and Energy, the truckers' strike over the past eight days has incurred an estimated loss of 1.6 trillion won ($1.24 billion), as of Monday. Among the companies hardest hit are export firms, including manufacturers of automobiles, steel, petrochemicals and concrete, mostly experiencing a lack of storage facilities and subsequent output reduction.

The unionized workers at KP said Monday that they will have no choice but to resort to collective action, a majority decision prompted by their employer's unwillingness to accept the mutually agreeable terms of the contract, mostly concerning wages and layoffs.

"KP management at the last minute put forth unacceptable negotiation terms that we consider nothing short of a slavery contract," the unionized KP workers said in a statement released Monday.

"The so-called employment contract is nothing but a management-friendly measure that justifies wage cuts and easy layoffs. How are we to accept the management raising delivery fees while cutting workers and worker wages? We reject the entirety of these underhanded ideas, the only purpose of which is to toe the line of the new Yoon Suk-yeol administration."

The recent move by law enforcement authorities to detain KCTU protestors reveals the new government's distorted way of suppressing democratically organized unions, they added. "The KCTU hereby vows full, unwavering collective action to make our voices heard."

The workers said they will organize a rally Saturday, followed by similar smaller protests every Monday in select regions nationwide.

The KP workers' heated response and efforts to seek wage increases is highly likely to strengthen the case for truckers that are calling for the extension and expansion of minimum freight rates in order to avoid cargo overloading and sleep deprivation while on the road, as outlined by the Safe Trucking Freight Rates System. The system has been in effect since 2020 but is set to expire on Dec. 31.

Minister of Land, Infrastructure and Transport Won Hee-ryong said during a meeting with the truckers that harsh consequences such as imprisonment for up to three years or fines of 30 million won ($23,375) will follow if they continue to "use logistics as a hostage to protect their own interests."

"The minister coming to visit the site of the conflict is not an indication of seeking a common ground for an amicable agreement but of impending stern legal consequences," Won said at a container dock in Uiwang, Gyeonggi Province.