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4:56:00 PM EDT
Union Network Targets Korea’s Wal-Mart Branches
An international coalition of labor unions started a campaign to organize workers of Korean branches of U.S. giant Wal-Mart while the U.S. chain claimed that it had nothing to do with its workers.
Two representatives from the Union Network International (UNI) had a press conference Wednesday in Seoul as a part of the global movement against Wal-Martization, which stands for the growing influence of the company’s low-cost and low-price policy on other businesses.
``Wal-Mart’s business model of low wages, low social benefits, no unions and constant pressure to lower operating costs is transforming the world economy,’’ said Alan Spaulding, president of UNI’s commerce sector. ``Wal-Mart’s low prices come at a high social cost. We are trying to convince Wal-Mart that it must change, that it must allow its workers to unionize, if they so desire.’’
UNI also said that the Wal-Mart effect hurts not only workers’ rights but consumers and the business environment in South Korea as well.
``On one side, they are like hedge funds. They try to make fast money (in South Korea) and go away,’’ said Jan Furstenborg, director of UNI’s commerce sector. ``I want to say that Wal-Mart is a modern-day imperialist.’’
UNI claims to have more than 15 million members from over 900 unions in some 140 countries. They launched a global campaign against the world’s largest retailers last month during a meeting held in Chicago.
Wal-Mart is the largest company in the world in terms of revenue with an annual sales of $285 billion and it employs some 1.6 million workers all over the world, including 16 branches in South Korea. It is the fifth largest retailer in South Korea following E-Mart, Home Plus, Lotte Mart and Carrefour.
Management of Wal-Mart Korea reacted negatively to UNI’s campaign, saying it is nothing more than propaganda and that there haven’t been any requests to form a labor union from its employees.
``Our employees are wondering why the Americans are making noise,’’’ said Park Chan-hee, public relations manager of Wal-Mart. ``We have been holding quarterly management-labor meetings during the last seven years, and most of the problems are solved there. We pay above-average wages and they are not very interested in forming a labor union.’’
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