SC bank reopens five of its 42 shut branches

SC First Bank, the Korea unit of Standard Chartered Plc, said yesterday it resumed operations of five of its 42 branches that were temporarily shuttered due to an ongoing labor strike over its salary system.

“The bank has reopened five branches across Seoul and Gyeonggi Province,” said Joo Hee-sun, a spokeswoman at SC First Bank, without identifying the criteria for resuming operations. No schedule has yet been set for additional reopenings, according to Joo.

SC First Bank had temporarily closed down 10 percent of its nearly 400 branches after more than 2,500 unionized members staged a walkout in late June in opposition to the bank’s plan to overhaul the seniority-based pay scheme and introduce a merit-based one.

Richard Hill, chief executive of SC First Bank, had previously said his bank would resume operations of the 42 branches that were shut down only after the ongoing labor dispute was resolved.

Unionized workers at the lender returned to work last week, halting the longest walkout in the history of the local banking sector, but are still staging slowdowns under a pledge to continue a partial strike.

They are slated to hold a one-day walkout on Sept. 16.