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(Photo= Yonhap news) |
[Alpha Biz= Reporter Kim Sangjin] Coupang's logistics subsidiary, Coupang Logistics Services (CLS), has announced plans to fully directly employ over 6,500 workers dedicated to sorting delivery items by the end of this year. This decision aims to address issues related to indirect employment through subcontractors, which previously left workers without industrial accident insurance coverage. Additionally, CLS plans to invest an additional 200 billion won in automation for sorting facilities by the end of the year.
According to the logistics industry on the 11th, CLS will convert all of its dedicated sorting staff to direct employment by the end of this year. Since 2021, CLS has been transitioning its sorting workforce from subcontracted to directly employed status, with the current direct employment rate at 80%, encompassing approximately 5,200 workers. CLS aims to achieve a 100% direct employment rate by adding around 1,300 more workers.
Sorting tasks involve dividing packages to be delivered by individual couriers, making it crucial for accurate delivery and preventing misdeliveries. Most logistics companies currently do not directly employ sorting staff. For example, CJ Logistics employs about 7,000 sorting staff through agencies, and Lotte Global Logistics uses approximately 1,500 part-time workers at its distribution centers.
CLS's move to complete direct employment is a pioneering effort in the industry to address the ongoing issue of social insurance gaps within the logistics sector.
Alphabiz Reporter Kim SangJin(letyou@alphabiz.co.kr)
