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Mr. S.T. Wu, the President of Labor Union of China Steel Corporation, denounced that the Ministry of Economic Affairs of Taiwan Government intended to intervene China Steel Corporation’s governance and collapse trade union’s power. The Corporation demonstrated its appreciation to us of cooperating the cost-saving policy during to the global financial crisis in 2008 by offering the wage-raising 3% plus bonus NT$15,000 (around US$470) to all employees earlier this year. Moreover, the Corporation has already made a great profit before tax of NT$27.4 billion (around US$856 million) the first half of the year, all the hard work and efforts made by the employees should be granted as they deserved.

However, the Government used its power to veto that agreement in the meeting board of directors today in order to break Corporation’s promise to us. In other words, the Government’s sabotaging action and attitude can be defined not only as a violator of human rights but also as a way of dismissing the trade unions. We highly oppose this intention and expect to call for your solidarity support.

Besides, we strongly suspected the management and capability of Corporation’s President Mr. J.C. Tsou as a representative of governmental stockholder in the board of director for not able to keep our agreement or defending our interests in the meeting. Mr. Wu repeated several times in public that China Steel Corporation has been privatized since 1995 and it should not be bound by any force. Any agreement is easily to break like this, there is no point to negotiate with the Corporation. We thus will lose our trust and credibility from our members. This will also disencourage employees to join the trade unions. We have sent a formal letter to the Government and called our members and affiliated brothers and sisters for waging a large protest towards the Ministry of Economic Affairs of Taiwan Government on July 28.