Coupang logistics centers turned out to violate the labor law

Coupang delivery vehicles. Yonhap News Agency

A number of violations of the Labor Relations Act, including the failure to list workers’ names and the failure to prepare salary statements, were found at Coupang logistics centers, which caused a controversy for receiving a "waiver of industrial insurance" from workers.

Earlier, the Kyunghyang Shinmun reported that Company A, which operates Coupang logistics centers in Jeju Island on behalf of Coupang CLS, received a "memorandum of responsibility for not subscribing to social insurance" from its workers. Company A also signed a service consignment contract with workers rather than a labor contract. Following the report, the Korea Worker's Compensation & Welfare Service conducted on-site inspections and found 1,594 workers were without employment insurance and 1,652 workers were without worker's compensation insurance, and imposed 140 million won for the company to pay employment insurance and worker's compensation insurance premiums and conducted training to prevent recurrence.

However, a number of violations were also found in labor inspections that were conducted after the inspection by the Korea Worker's Compensation & Welfare Service.

Some pointed out that labor supervision for all Coupang logistics centers is needed as many violations of labor laws were found in one of its centers. The Ministry of Employment and Labor said "The ministry will review the need for labor inspections at other industrial sites, based on the results of the current labor inspection.”

※This article has undergone review by a professional translator after being translated by an AI translation tool.