Korea Financial Industry Union Aiming at KAMCO Director Appointment

The Korea Financial Industry Union is aiming at workers’ participation in management at the Korea Asset Management Corp. (KAMCO). Previously, the union made similar attempts at KB Kookmin Bank, Industrial Bank of Korea and the Export-Import Bank of Korea.

The union announced on May 20 that it would try to have one outside director appointed by the KAMCO. The corporation has a total of seven outside director positions, including five that have been vacant since the end of last month. The union asked for the Financial Services Commission’s cooperation to that end on May 18.

The union’s three previous attempts failed to have a director recommended by unionized workers. However, the story is different now according to the Korea Financial Industry Union. In the KAMCO, candidate selection in its executive candidate recommendation committee is mandatory and the final appointment by the chief of the Financial Services Commission is possible through a resolution in its shareholder meeting where the Ministry of Economy and Finance is the largest shareholder. In short, director appointment in the KAMCO is different from that in a bank, where a candidate recommended by its chief is appointed by the head of a competent ministry.

In addition, the union is anticipating that the result of the recent general elections in favor of the ruling party will have a positive effect on its attempt in the KAMCO.