Hostname: page-component-6587cd75c8-6qszs Total loading time: 0 Render date: 2025-04-23T15:09:01.389Z Has data issue: false hasContentIssue false
  • English
  • Français

Nowhere else in the world? The Korean Safe Rates System in global context

Published online by Cambridge University Press:  11 November 2024

Wol-san Liem Open the ORCID record for Wol-san Liem [Opens in a new window]  and
Doojoo Baek
Wol-san Liem*
Affiliation:
International Transport Workers’ Federation, London, UK
Doojoo Baek
Affiliation:
Institute for Global Area Studies, Pukyong National University, Korea
*
Corresponding author: Wol-san Liem; Email: [email protected]
Get access Rights & Permissions [Opens in a new window]

Abstract

The Korean ‘Safe Trucking Freight Rates System’ (‘Safe Rates System’) was an important effort to address road safety risks by regulating road transport supply chains. In effect between 2020 and 2022, the system set minimum standards for truck driver pay and placed obligations on road transport supply chain parties to comply with these standards. In this article, we explain how the system developed in response to the deregulation and restructuring of the road freight market in the late 1980s and 1990s. We also trace the influence on the system of regulatory development in Australia and debates at the International Labour Organization (ILO). In 2019, workers, employers, and government representatives at the ILO reached an agreement on the main principles of the Safe Rates regulatory model through the adoption of the Guidelines on the promotion of decent work and road safety in the transport sector. We use these principles to explain and evaluate the Korean system. We also summarise assessments of the system’s impact, arguing that the results of the few studies that exist, justify the continuation of the system. By locating Korean Safe Rates as part of a broader global trend, we respond to opponents’ claims that the system is without international precedent and make the system eligible for a global audience. In so doing, we seek to contribute to the ongoing debate about the reintroduction of Safe Rates in Korea and draw lessons from the Korean experience that may be used in other countries.

Keywords

Safe Ratesroad transportInternational Labour Organization (ILO)supply chainsJ33J83K31
Type
Contested Terrains
Information
The Economic and Labour Relations Review , Volume 35 , Issue 3: Dedicated to Dr Tanya Carney – collegial scholar , September 2024 , pp. 649 - 663
Copyright
© The Author(s), 2024. Published by Cambridge University Press on behalf of The University of New South Wales

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

Article purchase

Temporarily unavailable

References

Australian Government (2012) Road Safety Remuneration Act. Available at https://www.legislation.gov.au/C2012A00046/latest/versions.Google Scholar
Baek, D (2022) Analysis of the impact of the of the Korean Safe Rates System and policy tasks for the system’s sustainable implementation [Korean language]. In Proceedings of the Debate Forum on Evaluation of the Safe Trucking Freight Rates System. Seoul: FKI Tower Conference Centre, 14–23.Google Scholar
Baek, D, Jeong, H, Liem, W and Kim, K (2024) The impact of the Korean Safe Rates System on work environment and road safety. Economic and Labour Relations Review 24(2).CrossRefGoogle Scholar
Baek, D and Yun, Y (2003) A Study on organising labourers in special employment: A study of organising and struggling case of ‘Cargo Transport Labourers in Special Employment Solidarity’ [Korean language]. Korean Journal of Labor Studies 9(2), 1–34.Google Scholar
Choi, J (2022) Trucking businesses’ opinion on the Safe Trucking Freight Rates System (Korea Trucking Association) [Korean language]. In Proceedings of the National Assembly Debate Forum on Evaluation of the Impact of the Safe Trucking Freight Rates System [Korean language]. Seoul: ROK National Assembly, DPK Meeting Room.Google Scholar
Belzer, MH (2011) The economics of safety: How compensation affects commercial motor vehicle driver safety. Prepared for the Safe Rates Summit, Australia.Google Scholar
Belzer, MH, Rodríguez, DA and Sedo, SA (2002) Paying for Safety: An Economic Analysis of the Effect of Compensation on Truck Driver Safety. Washington, D.C.: Federal Motor Carrier Administration.Google Scholar
British Columbia (BC) Government (2014) Container Trucking Act. Available at https://www.bclaws.gov.bc.ca/civix/document/id/complete/statreg/14028_01.Google Scholar
Deighton-Smith, R (2014) Review of the Road Safety Remuneration System. Document no EM16, Commonwealth Department of Employment.Google Scholar
Democratic Party of Korea (DPK) (2022). Proceedings of the National Assembly Debate Forum on Evaluation of the Impact of the Safe Trucking Freight Rates System [Korean language]. Seoul: ROK National Assembly, DPK Meeting Room.Google Scholar
(Fact check) At issue in the strike, no other countries implementing ‘Safe Rates systems’? [Korean language]. JTBC news, 1 December 2024. Available at https://mnews.jtbc.co.kr/News/Article.aspx?news_id=NB12105466 (accessed 21 July 2024).Google Scholar
51% say the Yoon government is ‘responding poorly’ to the TruckSol strike… 48% call for a continuous Safe Rates System [Gallup] [Korean language]. Newsis, 9 December 2022. Available at https://mobile.newsis.com/view.html?ar_id=NISX20221209_0002117586#_PA (accessed 21 July 2024).Google Scholar
Han, J (2018) Chaebol Logistics Strategies and Issues for Organising [Korean language]. Research Institute for Alternative Workers’ Movements.Google Scholar
International Labour Organization (ILO) (2015a) Conclusions on Safety and Health in the Road Transport Sector. Tripartite Sectoral Meeting on Health and Safety in the Road Transport Sector. Available at https://www.ilo.org/resource/record-decisions/tripartite-sectoral-meeting-safety-and-health-road-transport-sector-1.Google Scholar
International Labour Organization (ILO) (2015b) Resolution concerning best practices in road safety. Available at https://www.ilo.org/resource/record-decisions/tripartite-sectoral-meeting-safety-and-health-road-transport-sector.Google Scholar
International Labour Organization (ILO) (2016) Tripartite Sectoral Meeting on Safety and Health in the Road Transport Sector – Note on the proceedings. Available at https://www.ilo.org/resource/record-proceedings/tripartite-sectoral-meeting-safety-and-health-road-transport-sector-note.Google Scholar
International Labour Organization (ILO) (2019) Guidelines on the promotion of decent work and road safety in the transport sector. Available at https://www.ilo.org/resource/other/guidelines-promotion-decent-work-and-road-safety-transport-sector.Google Scholar
International Labour Organization (ILO) (2020) Final report – Meeting of experts to adopt guidelines on the promotion of decent work and road safety in the transport sector (Geneva, 23-27 September 2019). Available at https://www.ilo.org/resource/final-report-meeting-experts-adopt-guidelines-promotion-decent-work-and.Google Scholar
International Labour Standards. (2024). Available at https://www.ilo.org/international-labour-standards (accessed 20 July 2024).Google Scholar
Japanese Ministry of Land, Infrastructure and Tourism (2020) Concerning standard freight rates related for freight forwarding businesses [Japanese language].Google Scholar
Kee, D, Jun, GT, Waterson, P and Haslam, R (2017) A systemic analysis of South Korea Sewol ferry accident – Striking a balance between learning and accountability. Applied Ergonomics 59 Part B, 504–516. https://doi.org/10.1016/j.apergo.2016.07.014.CrossRefGoogle ScholarPubMed
Kaine, S and Rawling, M (2010) ‘Comprehensive campaigning’ in the NSW transport industry: Bridging the divide between regulation and union organising. Journal of Industrial Relations 52(2), 183–200. https://doi.org/10.1177/0022185609359444 CrossRefGoogle Scholar
Korean Public Service and Transport Workers’ Union Cargo Truckers’ Solidarity Division (TruckSol) (2022). Press Release: KPTU-TruckSol reaches agreement with the MoLIT during 5th round of negotiations, 15 June 2022. English translation available at: https://www.itfglobal.org/en/news/itf-congratulates-korean-truck-drivers-and-calls-south-korean-government-ruling-party-and (accessed 1 May 2024).Google Scholar
Korea Transport Institute (KOTI) (2022) Evaluation the performance of the Safe Trucking Freight Rates System and direction for its active development [Korean language]. In Proceedings of the Debate Forum on Evaluation of the Safe Trucking Freight Rates System. Seoul: FKI Tower Conference Centre, 1–12.Google Scholar
Korea Transport Institute (KOTI) (2021). Evaluation the Performance of the Safe Trucking Freight Rates System and Direction for its Active Development [Korean Language]. ROK Ministry of Land Infrastructure and Transport.Google Scholar
Kudo, T and Belzer, MH (2019) Safe rates and unpaid labour: Non-driving pay and truck driver work hours. Economic and Labour Relations Review 30(4), 532–548. https://doi.org/10.1177/1035304619880406.CrossRefGoogle Scholar
Lee, K and Kim, T (2017) A study on the impact of Korean trucking labour environment on traffic accidents [Korean language]. Logistics Research 25(1), 1–22.Google Scholar
Lee, Y (2022) Bill for the partial amendment of the Trucking Transport Business Act, No. 1357. Available at https://pal.assembly.go.kr/napal/flexer/out/1a22df7c-6e67-4e17-a396-b3245a86ff52.hwp.files/Sections1.html (accessed 21 July 2024).Google Scholar
Liem, W (2018). Joint struggle across the pacific – Meeting the Transport Workers’ Union of Australia, the first part of the story [Korean language]. Oneulboda 42. Available at https://www.pssp.org/bbs/view.php?board=j2021&nid=7619.Google Scholar
Mayhew, C and Quinlan, M (2006) Economic pressure, multi-tiered subcontracting and occupational health and safety in Australian long-haul trucking. Employee Relations 28(3), 212–229. https://doi.org/10.1108/01425450610661216.CrossRefGoogle Scholar
Monaco, K and Williams, E (2000) Assessing the determinants of safety in the trucking industry. Journal of Transport Statistics 3(1), 69–79.Google Scholar
National Transport Commission (2008) Safe Payments: Addressing the Underlying Causes of Unsafe Practices in the Road Transport Industry. Melbourne: National Transport Commission.Google Scholar
New South Wales (NSW) Government (1996) Industrial Relations Act. Available at https://legislation.nsw.gov.au/view/html/inforce/current/act-1996-017.Google Scholar
Office of the British Columbia Container Transport Commissioner (OBCCTC) (2022) Annual Report 2021/2022. Available at https://obcctc.ca/about-the-obcctc/annual-report/ (accessed 29 April 2024).Google Scholar
Park, Y (2022) Safe trucking freight rates system – The need for repeal of the sunset clauses and expansion to all vehicle and freight types [Korean language]. In Proceedings of the National Assembly Debate Forum on Evaluation of the Impact of the Safe Trucking Freight Rates System [Korean language]. Seoul: ROK National Assembly, DPK Meeting Room.Google Scholar
Parliament of Australia (2023) Fair work legislation amendment (Closing Loopholes No. 2) Bill 2023. Accessible at https://www.aph.gov.au/Parliamentary_Business/Bills_Legislation/Bills_Search_Results/Result?bId=r7134.Google Scholar
PriceWaterhouseCooper (2016) Review of the Road Safety Remuneration System – Final Report. Commonwealth Department of Employment.Google Scholar
Quinlan, M (2001). Report of Inquiry into Safety in the Long Haul Trucking Industry. Motor Accident Authority of New South Wales.Google Scholar
Rawling M, and Kaine S, (2012) Regulating supply chains to provide a safe rates for road transport workers. Australian Journal of Labour Law 25, 237–257.Google Scholar
Rawling, M, Johnstone, R and Nossar, I (2017) Compromising road transport supply chain regulation: The abolition of the Road Safety Remuneration Tribunal. Sydney Law Review 39(3), 303–332.Google Scholar
Rodríguez, DA, Rocha, M and Khattak, AJ (2003) Effects of truck driver wages and working conditions on highway safety: Case study. Transport Research Board Record 1883(1), 95–102. https://doi.org/10.3141/1833-13.CrossRefGoogle Scholar
Rodríguez, DA, Targa, F and Belzer, MH (2006). Pay incentives and truck driver safety: A case study. Industrial Relations Review 59(2), 205–225. https://doi.org/10.1177/001979390605900202.Google Scholar
ROK Minister of Land Infrastructure and Transport (MoLIT) (1997) Trucking Transport Business Act (TTBA). English translation available at https://www.law.go.kr/LSW/eng/engLsSc.do?menuId=2&section=lawNm&query=Trucking+Transport&x=0&y=0#liBgcolor0.Google Scholar
ROK Ministry of Land Infrastructure and Transport (MoLIT) (2022) Report to the National Assembly Special Committee on Public Livelihood Safety and Economy, 29 September 2022 [Korean language].Google Scholar
Transport Workers’ Union of Australia (TWU) (2024) Transport industry welcomes senate passing lifesaving transport reform and ‘world first solution to gig exploitation’. Available at https://www.twu.com.au/press/transport-industry-welcomes-the-senate-passing-lifesaving-transport-reform-and-world-first-solution-to-gig-exploitation/ (accessed 2 May 2024).Google Scholar
Yonhap (2022) Back to ground zero even on a 3-year extension of the Safe Rates System… President’s office ‘No longer valid’ [Korean language]. Hanguk gyeongje, 9 December 2022. Available at https://www.hankyung.com/article/202212095457Y (accessed 4 May 2024).Google Scholar
Yun, A (2020) Safety for the public, rights for the driver. In Trade Unions in Transformation. Friedrick Ebert Stiftung.Google Scholar
Yun, YS (2014) The content and implications of the Road Safety Remuneration System in Australia. Journal of Human Resource Management Research 21(3), 321–339.CrossRefGoogle Scholar