Garment Workers orgenized a production cooperative in Korea

Korea is a country which is to be involved in export-oriented industrialization as a result of foreign investment from the western multinational corporations in 1960s. However, in the past decade, Korea witness a restructuring of their industrial structures, either by relocating of the production lines in the less developed countries or upgrading the labour-intensive industries to the high-tech or capital-intensive manufacturing.

There are general decline of light manufacturing sector in decline in manufacturing because the heavy and chemical industries still occupied an important position in its economy.

But considerable decline in the light labour-intensive manufacturing industries such as garment and shoes was recorded in the past few internally, however, it has caused decisive changes in the social structure with widening gaps in income distribution and consumption levels.

In terms of number of workers, between the year of 1987 and 1992, the total number of production worker of the garment industry drops 31.8% while the shoe industry between 1991 and 1992 drops 26.2%. The decline of light manufacturing industries in Korea has disproportionately impacts on Women; the rate of decrease in women workers in the electronics industry in Korea is almost three times that for men between 1987 and 1992.

In Korea, though subcontracting production has been existed for a long time, it has expanded drastically in the 1980s and 1990s and is becoming a more institutionalized form of production in the garment and electronics industries. Subcontracting workers undergo a cut in wages, longer hours, harsh working conditions and less opportunities for labour organizing.

As we see in Korea, subcontracting workers are mostly married women. Those women workers suffer from lowered wage, irregular hours and exclusion from all benefits and welfare payments. Workers dispatched by sub-contracting agencies also have little protection for their rights because workers are no longer tired by the company where they actually do their work.

Organizing a Women Garment Workers Cooperatives

There are about 30 cooperatives in Korea now but I will concentrate to only one of cooperative which it has firmed as a cooperative and has relationship with Women Workers Organisation.

With such changes from industrial restructuring, women workers who have use to work in the garment industry job losses is every where even they work now but they are not secure when they are going to unemploy.

They can find a job in sub-contracting small companies with bad working conditions and even they work the work is not regular some times work over night. In that situation, some of garment workers who has been used to active in the trade union come together started to share about their difficulties working and specially married women who faced the most difficulties get job and even they get job is not secure. This kind of sharing promoted them to think more about cooperative.

"At the beginning, we are not sure what we can do for our rife but our discussion on cooperative was keep going and not stop. Some of us already work at home-based and some of them buy their own machine and sub-contracted to some of contractors and their experiences promoted our idea more because they have many difficulties to get work from contractor". depeat difficulties, they come to conclusion that even they are not acting in the social movement but they found out commonalities among themselves which was they are garment worker has been working more then 15 years in that area but now they left the company but they are looking for a job or working at the small sub-contract companies even they work there they are not satisfied on their job and they do not know when they are going to ross their job from now.

The sharing became more practical mater. Idea come to work together at the same place first then they think more and get more idea from outside friends. Finally they got many positive support from friends and organization. Then five of them diffided to organise a cooperative.

For preparation of this cooperative, they need to study on market and they found that even they work a long time in garment sector they worked part-line work so they were not sure whether they can make cloth by them selves. They decided to work in the small company for three month to learn and get use by themselves. Five of them first pay share and get support from Inchun WWA and get some loan from friends. With the amount they were able to land a small place and bough sewing machine.

After three month preparation work and finally 5 of them decided to set-up a cooperative which it call OCK NU RY GARMENT PRODUCTION COOPERATIVE in July of 1994. "We initiate to pay personal capital about won. 500,000 each one of us and get support from Inchun Women Workers Association, it was great help us to lend a place for our cooperative. Then we set a principle for our cooperative; the member if some one want to be a member of the cooperative then the person should be working in the cooperative and has to pay share capital amount minimum won. 500,000".

There is one another workers production cooperative which it call Han Baek Production Cooperative. It was set-up in Jan. 1995. In this cooperative has 9 members and capital share about 2,000,000 won.( about US$ 2,700) inch one person.

This cooperative is in Seoul so the salary is higher then Inchun cooperative which they set salary about won. 800,000 to 850,000. They has been working in garment company for a long and has been working in this area for a long so they got order through friends. Also, they express of difficulties with capital because they do not have capital they can not approach to big company.

In those cooperatives, most of member has experience active in the trade union before, they share that after their marriage they facing difficulties to survive and they said that the consciousness become individualize their lives and thinks become nero and their is no space to think about come society and common dream think only her own problem and difficulties.

When they found that situation they felt some thing is laking in their lives and they started to meet friends who was working and acting together in the trade union movement. It was start point, they shared about their lives and thinks together and found that those of them have same feeling and worry about on going their lives.

At the first four of them started and worked in this cooperative. The cooperative is a sub-contract company but they can not get link directly with big companies, they said if they want do direct contract with mother company then they need to have a big amount of capital so they are not try to link direct contract in stead they get contract through middle men.

"Of course our income is lower then other pactory and our cooperative is not secure, but we are very satisfied working in here". In pact, they have experience on bankrupt. A mother company where they got order contract has bankrupt so middle men said that he has also difficulty to managing his company because of the mother company bankrupt.

Now, they have already some good links with middle men and with middle scare sub-contract companies in Inchun. They have always oder so they do no have problem right now.

They set-up a principle on their profit share; Set a salary scare, maternity leave about 60 days with full payment, working hours 9:30am to 7:00 pm payment amount won.600,000 (US$800) and among the profit 50% of them will re fund for promoting cooperative, 20% of them pay to share holder, 20% of profit share to the workers who is working in the cooperative according to working years and 10% of profit will support to organisations.

When they have over time work then they will share 150%. The amount is not so much it is even lower then other small sub-contract company but the member of cooperative said that they are very satisfied and happy to work there.

I ask why? they said " before when we work in the company, we are just worker we can not make any decision on our work what ever the supper baser ask us to do we have to do but here we decision what kind work that we do how to do it and most of happiness would be it is belong to ours that might be make us happy and meaningful". Every body work in the line and one of the person who is uncharged is more act as a manager dealing with middle men.

Difficulties

The most difficulties for this cooperative is that they are sub-contract company which they depend to middle men. This cooperative is well known so there is no problem to get order contract from company. They mostly make cloth of well known brand and sale it in the big department store.

As the cooperative has experience about a mother company bankrupt, it is most difficulties we do not have any whitten contract paper with middle men and companies and if we have to suit the middle men in this case if the company doesn't have enough capital then we can not get any money from the middle men. When the mother company closed down or bankrupt then middle men also got difficulties and when the middle men has bankrupt then sub-contract company like this cooperative is getting more difficulties.

There is a case that they hold the production which they produce and the middle men has closed down the company in this case they try to negociant with the mother company that they will give the production to the company and you give us money if not then we will sale it to market but it was not successes the mother company did not answer to them which means that the company ignorant in it..

So they are always secure on their business to continue it as sub-contract company. So now, we try to have education and training program twice a year, through the training meeting and confirm about our philosophy on production and life cooperative among our members we will study about our future and discuss about developing our cooperative in the society and for the society. Han Baek Cooperative also said that they have seen many who has been orgamise a production cooperative but they closed down.

Even it is difficulty to keep continue they try their best so they are well known among the garment factories but they are not satisfied with this they would like to have their own blend and market in the department store but it is not yet possible for them because of lock of capital. The cooperative for long term strategy is to develop their own production and get their own blend but now difficulties of capital it is not yet go for it. As role of Women Workers Association is that 4 of the cooperative members are their member too and since they has put share in the cooperative the role would be more supportive to the cooperative but they do not have resources to provide services to them.

And also yet come to discuss to put their time to study and pressing the government for supporting this kind of cooperative. It is because a short time experience on it. Some call Workers Management Policy Institute is try to develop workers cooperative. According to this institute, there are about 30 cooperative but they can say that only two cooperative can call as workers cooperative. The institute try to bring them together to talk about cooperative and how to manage cooperative.

Posted by KWWA
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