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Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] The special prosecution team led by Ahn Kwon-seop has initiated a full-scale investigation into Coupang over allegations of evading investigations and withholding severance pay.
On Dec. 23, prosecutors and investigators raided Coupang Fulfillment Services (Coupang CFS) offices in Songpa-gu, Seoul, to secure documents related to severance payments. Coupang is suspected of having altered employment regulations in May 2023 in ways unfavorable to employees, effectively delaying or reducing severance pay.
The controversial rule, dubbed the “severance reset clause,” recalculates severance pay if an employee worked less than 15 hours in any week during their employment period. Internal Coupang documents reportedly instructed that temporary workers would not be individually informed about the changes and that any objections would be handled on a case-by-case basis.
Previously, the Bucheon branch of the Ministry of Employment and Labor had forwarded the case for prosecution in January, but the Incheon District Prosecutors’ Office dismissed it in April. During this process, former prosecutor Moon Ji-seok testified at a parliamentary audit that his superiors allegedly pressured the office to clear Coupang of wrongdoing, allegedly withholding key evidence and leaking investigation materials to the company.
Ahn’s special prosecution team began questioning Moon as a witness earlier this month and has now escalated the probe with the raid. Investigators plan to review the seized materials and summon Coupang officials to scrutinize the decision-making process behind the employment rule changes.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
