ECONOMY · 2026-11-10
Posco Chair Jang In-hwa Faces Reappointment Test as First Strike and Steel Profitability Recovery Remain Key Challenges
POSCO Group Chairman Jang In-hwa will be assessed on both his management results and outstanding challenges ahead of the next chairman selection process, which begins in December. While the group’s overall operating profit rose, steel business profit fell, and repeated safety incidents and labor tensions are also seen as variables in whether he can secure another term.
POSCO Group Chairman Jang In-hwa has come under the spotlight for reappointment as he works through the group’s first strike since taking office and heads toward the next chairman selection process. Although he has delivered results such as improved group earnings and expanded overseas cooperation, challenges remain, including restoring profitability in the steel core business and preventing further safety incidents.
Reappointment will be judged by the same standards as other candidates
According to Shin A Ilbo, Chairman Jang took office in March 2024, and the next chairman selection process is scheduled to begin in December. With the priority review system for reappointment abolished, even if Jang seeks another term, he will be evaluated under the same standards as outside and internal candidates. As a result, not only his performance during his first term but also how he handled key management issues is expected to become an important part of the assessment.
POSCO Holdings’ consolidated operating profit in the third quarter came to 945 billion won, up 47.9% from a year earlier, while sales rose 10.9% to 19.141 trillion won. However, the increase in operating profit was largely driven by POSCO E&C’s turnaround from an operating loss last year to a profit this year. During the same period, POSCO, the steel business company, posted operating profit of 455 billion won, down 22.2% from a year earlier. That is why stronger group-wide results alone cannot be taken as proof that the steel segment has also recovered.
Safety and labor relations remain unfinished business
Fatal accidents have continued to occur at POSCO E&C worksites. According to reports, in June this year, a subcontracted worker fell to his death at the Sinansan Line double-track railway construction site. Since safety issues at construction sites are closely tied to a company’s management responsibility, whether meaningful improvements are made to prevent recurrence could become a burden for Chairman Jang.
Labor relations have at least moved into a temporary settlement phase. POSCO’s labor union staged its first-ever strike in the company’s 58-year history, but after 140 days of wage negotiations, the union and management reached a tentative agreement. Final settlement still depended on a majority approval vote by union members. How stably that tentative deal resolves the conflict on the ground will remain something to watch going forward.
External engagement and the three core business strategy
Chairman Jang is also active on the external cooperation front. Through the Korea-Australia Business Council, he has pushed to expand cooperation in critical minerals and energy, and as head of the Korea Iron and Steel Association, he played a role in securing the World Steel Association’s Seoul General Assembly. Reports also noted his participation as part of an economic delegation during President Lee Jae-myung’s overseas visits after the launch of the Lee Jae-myung administration.
The “Triple Core” strategy announced in July is designed to strengthen competitiveness around steel, secondary battery materials, and energy. Related initiatives include building facilities for automotive steel sheet production, shifting to an LFP cathode material production system, completing the upstream process at Argentina Lithium’s second plant, and signing an agreement to acquire U.S. shale gas assets. Still, it is necessary to distinguish between the direction of the strategy and its actual results. In the end, the reappointment review is likely to focus on whether these business plans are translating into profitability and competitiveness.
It is still too early to conclude whether Chairman Jang will win another term. That is because the review is likely to take into account not only group earnings and external activities, but also recovery in the steel core business, safety management, labor trust, and the performance of new businesses. Based on Shin A Ilbo’s report, the next chairman selection process is expected to become a stage on which Jang’s achievements in his first term and the challenges he has yet to resolve are weighed together.
Reappointment will be judged by the same standards as other candidates
According to Shin A Ilbo, Chairman Jang took office in March 2024, and the next chairman selection process is scheduled to begin in December. With the priority review system for reappointment abolished, even if Jang seeks another term, he will be evaluated under the same standards as outside and internal candidates. As a result, not only his performance during his first term but also how he handled key management issues is expected to become an important part of the assessment.
POSCO Holdings’ consolidated operating profit in the third quarter came to 945 billion won, up 47.9% from a year earlier, while sales rose 10.9% to 19.141 trillion won. However, the increase in operating profit was largely driven by POSCO E&C’s turnaround from an operating loss last year to a profit this year. During the same period, POSCO, the steel business company, posted operating profit of 455 billion won, down 22.2% from a year earlier. That is why stronger group-wide results alone cannot be taken as proof that the steel segment has also recovered.
Safety and labor relations remain unfinished business
Fatal accidents have continued to occur at POSCO E&C worksites. According to reports, in June this year, a subcontracted worker fell to his death at the Sinansan Line double-track railway construction site. Since safety issues at construction sites are closely tied to a company’s management responsibility, whether meaningful improvements are made to prevent recurrence could become a burden for Chairman Jang.
Labor relations have at least moved into a temporary settlement phase. POSCO’s labor union staged its first-ever strike in the company’s 58-year history, but after 140 days of wage negotiations, the union and management reached a tentative agreement. Final settlement still depended on a majority approval vote by union members. How stably that tentative deal resolves the conflict on the ground will remain something to watch going forward.
External engagement and the three core business strategy
Chairman Jang is also active on the external cooperation front. Through the Korea-Australia Business Council, he has pushed to expand cooperation in critical minerals and energy, and as head of the Korea Iron and Steel Association, he played a role in securing the World Steel Association’s Seoul General Assembly. Reports also noted his participation as part of an economic delegation during President Lee Jae-myung’s overseas visits after the launch of the Lee Jae-myung administration.
The “Triple Core” strategy announced in July is designed to strengthen competitiveness around steel, secondary battery materials, and energy. Related initiatives include building facilities for automotive steel sheet production, shifting to an LFP cathode material production system, completing the upstream process at Argentina Lithium’s second plant, and signing an agreement to acquire U.S. shale gas assets. Still, it is necessary to distinguish between the direction of the strategy and its actual results. In the end, the reappointment review is likely to focus on whether these business plans are translating into profitability and competitiveness.
It is still too early to conclude whether Chairman Jang will win another term. That is because the review is likely to take into account not only group earnings and external activities, but also recovery in the steel core business, safety management, labor trust, and the performance of new businesses. Based on Shin A Ilbo’s report, the next chairman selection process is expected to become a stage on which Jang’s achievements in his first term and the challenges he has yet to resolve are weighed together.
Related search terms
#POSCO Chairman Jang In-hwa reappointment#POSCO next chairman selection process#POSCO third quarter operating profit#POSCO steel business profitability#POSCO E&C safety accident#POSCO labor dispute strike#POSCO Triple Core strategy#POSCO overseas cooperation critical minerals energy