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Photo = Yonhap news |
[Alpha Biz= Kim Jisun] The Seoul Southern District Court has dismissed an injunction request filed by Asiana Airlines pilots seeking to block their transfer to Air Incheon, following the planned sale of Asiana's cargo business.
On May 22, the 51st Civil Division of the court ruled against the pilots’ union, rejecting the request to suspend the validity of the transfer order without holding a hearing. Both parties were notified of the decision through a written ruling.
Asiana Airlines responded by stating, “We will make every effort to ensure the smooth completion of the cargo business divestiture process.” The pilots’ union plans to review the legal rationale behind the court’s decision and determine its next course of action.
Earlier this year, Asiana Airlines notified a total of 778 employees, including 248 cargo aircraft pilots, that they would be transferred to Air Incheon. The aircraft involved include the Boeing 747 and 767.
The union filed the injunction on April 29, claiming that the transfer was invalid without individual consent, and argued that the transaction should be viewed as a business transfer, not a corporate split. Under Article 657 of the Korean Civil Code, an employer may not transfer an employee to another entity without their consent.
However, Asiana Airlines cited a 2013 Supreme Court ruling, asserting that employee consent is not required if the transfer occurs through a properly negotiated business division and merger process. The airline also emphasized that it had conducted numerous explanatory sessions over the past two years.
With the court’s decision favoring Asiana Airlines, the cargo business sale to Air Incheon is expected to proceed as planned. The divestiture was a condition for obtaining regulatory approvals for Korean Air’s acquisition of Asiana Airlines, especially from the European Commission and Japan Fair Trade Commission.
The transaction is expected to close once Air Incheon completes a KRW 470 billion paid-in capital increase in June, with the official employee transfers set for July 1.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
