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When leaders of the Korean Confederation of Trade Unions (KCTU) asked the International Monetary Fund (IMF) Managing Director Michel Camdessus if this was the case, he "categorically denied that it was the official IMF condition" -- according to a KCTU statement released after the meeting.

The KCTU statement went on to say:

"Mr. Camdessus expressed that the Korean government may perceive and may have adopted the view that the introduction of such a legislative measure was necessary to attract foreign investment."

2. It's nearly impossible to fire a worker in Korea thanks to the country's inflexible labour laws.

Not true.

It is possible for companies in Korea to layoff workers for managerial or operational reasons without any legal obstacle as long as the following four criteria or procedures are met:

• there should be urgent managerial reasons for the layoffs
• there should be prior best efforts to avoid dismissals
• there should be fair and reasonable criteria for the selection of employees targeted for dismissal
• there should be sincere consultation with employee representatives on the efforts to avoid the dismissal and the selection criteria

3. The Korean Confederation of Trade Unions is a "radical" labour group, unwilling to compromise.

Not true.

Efforts by some in the "mainstream" media to portray the KCTU as bunch of inflexible radicals willing to destroy their country for ideological reasons are designed to pave the way for possible suppression of the union. The KCTU has actually taken a very moderate position on the economic crisis.

It has expressed its commitment to the tripartite (business, government, labour) process, to help build international investor confidence in the South Korean economy, and to reaching agreement with government and business on how to resolve the crisis.

In its letter to the IMF, the union leaders wrote:

"KCTU believes that social consensus propelled by social agreement obtained through a tripartite process is the most effective vehicle for economic recovery and international confidence. KCTU has, therefore, made its commitment for a tripartite process clear. . . . KCTU is committed to making the tripartite process work to build binding social agreements to deal with all pertinent issues to overcome the current crisis."