Send to

Two umbrella unions declare revenues for first time

Dec. 1, 2023 - 15:10 By Lee Jaeeun
Labor Minister Lee Jung-sik talks during a briefing on ways to improve labor unions' accounting transparency and root out their unfair employment practices at the government complex in Seoul on Oct. 5. (Newsis)

South Korea’s two major umbrella labor organizations disclosed their revenues for the first time since their establishment, Thursday.

The Federation of Korean Trade Unions announced an annual revenue of 39.25 billion won ($30.16 million) for 2022, according to the Labor Union Accounting Disclosure System administered by the Ministry of Employment and Labor.

In detail, the FKTU revealed that 22.9 billion won was carried over from the previous year. They further said that 5.99 billion won came from union membership fees, 5.62 billion won originated from other profitable businesses, and 3.98 million won was received as a government subsidy.

The FKTU further disclosed that it allocated 4.29 billion won for labor costs and 3.03 billion won for other operating expenses last year.

Additionally, the FKTU revealed that it possessed total assets amounting to approximately 52.3 billion won, with a membership base of 1.33 million as of last year.

For the Korean Confederation of Trade Unions, it reported an annual revenue of 24.63 billion won for 2022. This figure included 4.6 billion won carried over from the previous year and 18.1 billion won from union membership fees.

The KCTU disclosed that it allocated 9.06 billion won for labor costs and 4.63 billion won for grants to sub-organizations.

As of last year, the KCTU had 1.12 million members and possessed a total of 8.77 billion won in assets.

This marks the inaugural disclosure of financial statements of labor unions in Korea. The Yoon Suk Yeol government, aiming to enhance financial transparency and prevent improper spending, has been advocating for amendments to laws.

While the disclosure of financial statements is voluntary, unions choosing not to disclose forfeit the 15 percent tax credit on union dues.

As of Thursday, around 90 percent of eligible unions with over 1,000 members have voluntarily disclosed their financial statements.