The system formalizes a role for the union in the board of directors — the company’s top decision-making body — allowing it to present views on major management issues and during decision-making.
KGM said the move was pursued after Chairman Kwak Jae-seon proposed reviewing the idea at a year-end meeting last December with KG Group affiliate unions and an employee council. The company said it will begin full implementation after practical talks with the union on details, including who will attend board meetings.
At the company’s third board meeting on the 24th, union chairman Noh Cheol attended as a “participation director.” “By joining the board, we can address information asymmetry between labor and management by gaining access to management information,” Noh said. He added that reflecting voices from the shop floor in management decisions is expected to help build trust and expand communication.
KGM said it plans to develop the initiative beyond a traditional labor-management relationship into a shared management partnership.
CEO Hwang Ki-young said the system is an advanced governance model that moves away from a management-centered decision structure and enables all employees to take part in management to achieve a shared goal. He said the company will strengthen communication with stakeholders and boost global competitiveness through transparent and responsible management.
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.