BGF Logis and the Cargo Union have signed a collective agreement to end the conflict at CU logistics centers [1].
The settlement resolves a period of extreme tension marked by logistics center blockades and the death of a union member. It establishes new labor standards for delivery drivers and seeks to restore stability to the supply chain of the CU convenience store network.
Under the terms of the agreement, shipping fees will increase by seven percent [1]. The deal also introduces quarterly paid leave and guarantees the right to union activities [1]. To resolve legal disputes, the company agreed to withdraw its claims for damages and provisional injunctions against the union [1].
Both parties also agreed to implement measures to restore the honor of the union member who died during the dispute [1]. The agreement aims to improve the working conditions of freight workers while ensuring the consistent flow of goods to retail locations.
Lee Min-jae, representing BGF Logis, said the company expects the agreement to improve the relationship of trust with delivery drivers and ensure a stable supply of logistics [1].
“Shipping fees will increase by seven percent.”
This resolution marks a significant concession by BGF Logis, particularly regarding the withdrawal of legal actions and the acknowledgment of a deceased worker. By granting a pay raise and formalizing leave and union rights, the company is prioritizing the restoration of its logistics network over prolonged legal battles, reflecting the high cost of supply chain disruptions in the competitive convenience store market.
