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Extension of 4 months of unpaid leave until next March
The 6-month government maintenance support period has expired
Experts “The next is restructuring as the hopeful retirement”
More than 2,000 employees of Hana Tour, the # 1 travel industry, find themselves in a situation where they cannot receive a single cent next month. The company has decided to extend unpaid leave until March next year, when government support for maintaining employment ends. A Hana Tour official said: “On the 13th, we announced the extension of unpaid leave without government subsidies for 4 months from next month to a total of 2,300 employees through the internal communications network.” Among the 2,300 employees eligible for unpaid vacation, 2,000 employees excluding the 300 employees required. It is known that Hana Tour is also considering a plan to reduce the size of the workforce required to reduce staff expenses by nearly half.
Hana Tour went on unpaid leave since last June. During the period of unpaid leave, the salaries of HanaTour employees all came from government support for maintaining employment. The government subsidy for maintaining employment is up to 66,000 won per day (50% of the monthly salary), or 1.98 million won for 30 days and 2.46,000 won for 31 days. But from next month, I can’t even figure it out. This is because the subsidy period for maintaining government employment ends at the end of this month. The unpaid vacation allowance period set by the government is 6 months (180 days).
As Hana Tour extends unpaid leave, restructuring such as job reduction is becoming a prerequisite. This is because, by extending the unpaid leave, by tightening the belt as much as possible, the next card that management must choose is that there is nothing but reducing the workforce, such as hopeful retirement and layoffs.
Labor director Kim Dong-han said: “Paid and unpaid leave is a way to keep employment in a crisis situation, but it is also a process to ensure proof that the company has made sufficient efforts to keep. employment before restructuring, such as the reduction of manpower “. It means that Hana Tour’s extension of unpaid leave can be seen as a preliminary step to reduce manpower, such as promising retirement and layoffs.
Government support for maintaining employment for paid leave is renewed on an annual basis and applicants are re-assigned qualifications when the year changes. However, unpaid leave cannot be received again after 180 days of government support. The Ministry of Employment and Labor explained: “Unpaid leave without corporate burdens can cause moral hazard, so the period or scale of support cannot be extended as a paid leave.” That’s why experts see unpaid leave as the last bastion a company can choose to keep the job.
Of course, it is possible to switch to paid holidays after March next year, when the unpaid holidays end. However, considering the situation of the national and foreign crown, it is public opinion that the possibility is not high. Paid leave, unlike unpaid leave, is because, instead of receiving support for maintaining employment from the government, the company must also pay 10-20% of employees’ salaries.
The performance of Hana Tour fell by 95% from the previous year due to the crown crisis. The cumulative deficit from the first quarter of this year to the third quarter alone reached 125.6 billion won (provisional value). Hana Tour received government support for up to six months (180 days) paid leave for just three months (90 days) from March to May, and went on unpaid leave in early June. This is to reduce the burden of labor costs as much as possible.
Hana Tour dismissed the possibility of a restructuring, stating that the extension of unpaid leave was not a decision made with labor reduction in mind, such as confident retirement. A company official pointed out: “This was a decision made through discussions with the ‘Hana Tour Development Council’, which is the employee representative organization, as well as the implementation of unpaid leave last June.”
Legally, for a company to be able to take unpaid leave, it must go through a work management agreement process in advance. In Hana Tour, where there is no legal union, “Habalhyup” is responsible for the union role which represents 2,300 employees.
Reporter Lee Sun-woo [email protected]
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