[Edaily Reporter Shin Yeong-bin ] SHINSEGAE INFORMATION & COMMUNICATION Co., Ltd. (#SHINSEGAE I&C Technology Co., Ltd.), an IT services company under the Shinsegae Group, has established its first labor union in its approximately 30-year history. The union stated that concerns among employees regarding recent organizational restructuring and the potential outsourcing of the group’s system management (SM) operations were the driving factors behind the union’s formation.

According to the Korean Confederation of Trade Unions’ National IT and Office Services Labor Union Federation on the 10th, the Shinsegae Co.,Ltd. I&C Technology Co., Ltd. labor union received its labor union establishment certificate from the Gangnam District Office in Seoul on the 8th and officially began its activities.

Since its establishment in 1997, Shinsegae I&C Technology Co., Ltd. has been responsible for building and operating the Shinsegae Group’s IT systems, as well as its retail tech business. This marks the first time a labor union has been formed at the company since its founding.

The union has adopted the motto “When employees grow, the company grows” as its guiding principle. Its key objectives include: △ ensuring job security for employees; △ establishing a fair and reasonable performance-based compensation system; △ fostering transparent decision-making and a healthy labor-management culture; and △ strengthening the company’s sustainable competitiveness.

The union pointed out that amid intensifying competition to secure specialized talent in the rapidly changing IT industry, workforce attrition and job insecurity could impact the company’s technological competitiveness.

In its founding declaration, the union stated, “Since the company’s performance stems from the efforts of its members, their performance must be fairly evaluated and justly rewarded,” adding, “Restructuring or unilateral organizational changes must not be carried out at the expense of members.”

The union also cited recent organizational restructuring efforts as a key factor behind its formation. It argued that decisions regarding the reorganization of the group’s SM operating system were made without sufficiently incorporating employees’ opinions, and that concerns were raised during this process about the potential outsourcing of core operational tasks.

SM refers to the operations, maintenance, and support of a company’s IT systems. Shinsegae I&C Technology Co., Ltd. is responsible for operating the major IT systems of Shinsegae Co.,Ltd. affiliates, so the way these operations are managed can directly impact the company’s business structure and the job security of its employees.

The union emphasized, “The company’s core business and employees’ workplaces must be managed with the company’s sustainable growth and employment stability as the top priority, rather than the interests of specific individuals,” adding, “Establishing new organizations or changing operational methods without sufficient review and consensus could undermine the company’s core competitiveness.”

The union plans to verify the facts regarding future organizational restructuring and potential outsourcing initiatives, and to consult with the company to ensure that employees’ opinions are reflected in key decision-making processes.

A representative from Shinsegae Co.,Ltd. I&C Technology Co., Ltd. stated, “The company respects labor laws and regulations as well as relevant procedures, and is listening to the diverse opinions of its employees,” adding, “We will continue to communicate in good faith in accordance with official procedures going forward.”