Kakao Stages First Partial Strike Since Founding; Union Announces Second Walkout for June 29

The labor-management conflict at Kakao appears to be entering a prolonged phase as the union, having launched the company's first partial strike since its founding, announced plans for a second walkout on June 29.

The Kakao branch of the Korean Chemical, Textile & Food Workers' Union held a partial strike starting at 10:00 a.m. today (June 10).

The strike lasted for a total of three hours, excluding the lunch break, and concluded at 3:00 p.m.

Today's action was a joint strike involving not only the Kakao headquarters but also four affiliates: Kakao Pay, Kakao Enterprise, DK Techin, and XL Games.

Following the breakdown of wage and collective bargaining negotiations, these entities secured the right to strike after mediation by the Gyeonggi Regional Labor Relations Commission was suspended, and they subsequently voted in favor of the strike.

According to the Kakao union, approximately 1,000 employees from the headquarters and about 1,500 employees across all participating entities took part in the strike.

With the Kakao headquarters employing roughly 4,000 people, the union's figures suggest that one in four headquarters employees participated in the strike today.

It is reported that while Kakao's labor and management continued behind-the-scenes negotiations until recently, they ultimately failed to reach an agreement.

Today, the union held a march from Pangyo Station Square to H Square between 11:30 a.m. and 12:30 p.m.

During a rally held after the march, Seo Seung-wook, head of the Kakao union branch, announced a second strike scheduled for June 29.

"We are preparing to implement a 'Log-off Day' on June 29," said Seo. "The true reform of Kakao must be driven by the crew (employees), not the management."

Seo explained that 'Log-off Day' refers to an additional strike. While the specific format—such as a full-day strike or a general strike—has not yet been decided, he stated that the details would be announced later.

However, according to the union, the strike on June 29 is likely to take the form of a "leave struggle," where members take annual leave to refrain from working.

The conflict between Kakao's labor and management is primarily driven by disagreements over performance-based compensation structures.

The headquarters union is demanding performance bonuses of 10 million won per person, but the two sides remain at odds over whether to include previously issued Restricted Stock Units (RSUs) in the bonus calculations.

As the union plans to increase the number of participants for the second strike, concerns are being raised about potential disruptions to services such as KakaoTalk or Kakao Pay on June 29.

The company stated that it remains open to reaching an agreement with the union and is maintaining a response system to ensure there are no service disruptions during the strike.

"The company is operating a real-time response system to ensure stable service operation and minimize impact on customers," a Kakao official said. "We will continue to communicate and negotiate with the union for a swift resolution."

(Photo: Yonhap News)
※ Please note: This article was translated by AI and may contain errors.