Court rules layoff of over 600 employees by Eastar Jet in 2020 justified

A court ruled Thursday that the dismissal of some 600 employees at Eastar Jet Co. in 2020 is justifiable, given the financial difficulties suffered by the company at a time of the COVID-19 pandemic.

In 2020, Eastar Jet laid off 605 personnel from their company, citing financial difficulties, and 44 of them filed a petition asking for their reinstatement with the Regional Labor Relations Commission in Seoul.

The regional commission ruled that the airline company had not done enough to prevent the layoff, including through temporary closure or taking time off, and recognized the dismissal of 41 people as unjustly done.

The company filed an appeal and the National Labor Relations Commission overturned the regional commission’s decision and sided with the South Korean budget carrier, leading to 29 laid-off workers taking the case to the administrative court.

On Thursday, the Seoul Administrative Court ruled that there was an urgent need for the layoff due to the business situation, including the spread of COV
ID-19, the restraint in travel, and prolonged state of impaired capital for the company.

“The management tried its best to avoid the layoff, selected those to be dismissed based on objective and impartial standards, and negotiated with the head of the workers,” the court said.

Source: Yonhap News Agency