Company managers and labour union staff at Kia Motors are reported to be under investigation for allegedly collaborating in an illegal job brokering scheme to take large sums of money from jobseekers in return for employment.


Investigators have expanded their enquiries to uncover similar jobs-for-money cases with other businesses and their trade unions, according to the Korea Times.


The paper said prosecutors on Monday arrested a 44-year-old member of Kia Motors’ labor union, identified only as Chung, on charges of taking 180 million won from eight jobseekers in exchange for employment in the firm’s factory in the southwestern city of Kwangju between May and June 2004.


Chung reportedly admitted to the charges and, according to investigators, about 20% of available jobs were allocated to the union in the job scam.


The Korea Times said prosecutors were questioning Chung to verify allegations that other labour union staff had also received money from jobseekers in factories in Kwangju and other places in cooperation with company managers.

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According to the paper, company union leader Park Hong-gui issued a statement to apologise for the union’s implication in the scandal, saying that both the union and management should cooperate to get rid of the illegal practice.


In the southeastern port city of Pusan, a member of a cargo transport union was arrested for taking 17 million won from two men after arranging jobs for them in 2001 and 2002, the newspaper said, adding that the arrest came after the prosecution arrested another staff of the same union on December 13 on charges of receiving 160 million won from jobseekers on six occasions.


The Korea Times said the prosecution has expanded the probe to confirm allegations that other leaders of the cargo transport union also pocketed money in similar cases.


The newspaper noted that Kia Motors’ union is also facing another allegation over the waiting list of jobseekers, newly obtained from a 52-year-old who claimed that he paid 60 million won to union staff last year.


He reportedly quoted the union staff as saying that he would have to wait for a while to secure a position because many applications for jobs had been made.