Oil Corporation Union Opposes Gas Corporation Merger, Citing Energy Security Risks

The labor union of the Korea National Oil Corporation has officially opposed the government's plan to merge the Korea National Oil Corporation and the Korea Gas Corporation, calling it a "hasty administrative action that threatens national energy security and the future of the corporations."

According to industry sources, the oil corporation's union issued a statement on September 7, asserting that the government failed to adequately gather the opinions of employees from the public institutions involved while pushing for this significant decision directly related to national energy security. They claimed that the merger proposal not only lacks procedural legitimacy but could also negatively impact the national energy ecosystem.

The union also raised concerns about the government's proposed "integrated energy strategy for the oil and gas sectors." They argued that the distinct business structures and roles in exploration, development, storage, import, and distribution of oil and gas mean that a physical merger without thorough review could undermine the expertise of each institution.

Additionally, the union criticized the lack of consultation with members during the merger process. They emphasized that discussions with stakeholders should precede any decisions that affect the existence of the corporations and the employment and working conditions of their employees.

The union called for responsible action from management, stating, "If they were unaware of the merger plans beforehand, it shows incompetence; if they were aware and did not respond, they must clarify the process and reasons behind it." They demanded that the president hold an immediate town hall meeting for all employees to disclose the progress of the merger and future response plans.

The union concluded by stating, "We will continue to oppose the merger to protect national energy security, the expertise of the oil corporation, and the rights of our members to survive."