[UPDATES] Workers rally against government's labor reform package

[Yonhap News Photo]

Tens of thousands of workers held a boisterous rally Thursday against the proposed introduction of a performance-based incentive wage system, threatening to stage more walkouts and anti-government protests.

The rally on a sprawling part near the parliamentary hall in Seoul was watched by thousands of riot police but no clashes or arrests were reported. Police put the number of protestors at 36,000 while organizers said the rally drew more than 60,000 people.

Meanwhile, subway workers in Seoul declared an end to their three-day strike after winning a pledge from city authorities that the new wage system based on performance would be enforced only through union-management negotiations.

Seoul city mayor Park Won-soon, who is an influential liberal figure, is seen as a potential candidate in the race to elect South Korea's next president in December next year.

Railway and subway workers staged a rare joint strike Tuesday in protest at the incentive wage system pushed by President Park Geun-hye as part of her economic reform package to introduce labor market flexibility.

Railroad cargo delivery has been reduced to less than 30 percent of capacity, but no major disruptions in passenger services were reported in railway and subway stations in Seoul and elsewhere as temporary workers were mobilized to pinch-hit striking workers.

Choi Jeong-ho, vice minister of land, infrastructure and transport, said the government would consider using military trucks to solve disrupted cargo delivery.

"We are now seeing serious disruptions in cargo train services especially in the delivery of cement and containers," he said.

President Park has vowed to introduce labor market flexibility. State-run companies and financial companies are under pressure to introduce the new system from January 1 next year.

Workers are afraid of losing important protections, arguing Park's package would result in lower wages and little job security. Government officials have said the new system would provide a fair reward based on performance, urging state-run companies and financial institutions to dump an easy-going attitude and complacency.

Aju News Lim Chang-won = cwlim34@ajunews.com

Park Sae-jin swatchsjp@ajunews.com

[UPDATES] Workers rally against government's labor reform package

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