The Korean Financial Industry Union(KFIU) and the main opposition Minjoo Party of Korea defied the enforced introduction of the performance-related pay system by commercial banks which is, they claimed, not in compliance with the relevant law, and called for the resignation of Yim Jong-yong, Chairman of the Financial Service Commission who is suspected of pushing ahead for the implementation of the new wage system behind the scene.

Eight commercial banks including the KB Kookmin Bank on December 12 convened the emergency meeting of the board of directors which endorsed the introduction and expansion of the performance-related pay system. None of these commercial banks made any prior consultation with KFIU union locals regarding the introduction of the new wage system.

The Financial Service Commission which is the government's top financial regulator reportedly called in the heads of commercial banks on December 9 and influenced them to implement the performance-related pay system through the resolution of the board of directors.

reported by Yang Woo-ram
translated by Kim Sung-jin