Korea GM Cancels February Overtime... "Proactive Measure to Prepare for Parts Inventory Shortage"

Overtime Scheduled at Bupyeong 1 Plant Canceled This Month
"Proactive Measure to Prepare for Prolonged Situation... Normal Operations Continue Except Overtime"

Korea GM Bupyeong Plant (Photo by Yonhap News)

[Asia Economy Reporter Kim Ji-hee] Korea GM has canceled all scheduled overtime work for this month. Although there is currently no shortage of Chinese-made parts, this measure is to adjust the production speed in preparation for a prolonged outbreak of the novel coronavirus infection (Wuhan pneumonia).

According to industry sources on the 7th, Korea GM canceled the February overtime work at its Bupyeong plant. Originally, the Bupyeong Plant 1 assembly, body, and painting lines planned normal shifts of 8 hours for both the first and second shifts, plus about 1 hour and 20 minutes of overtime.

Korea GM's decision to cancel overtime is an extension of the recent shortage of wiring harnesses that has caused domestic automakers' factories to halt production one after another. Wiring harnesses are electrical wire products that function like blood vessels in vehicles, and most domestic automakers receive supplies through their Chinese factories. Recently, the Chinese government suspended factory operations within China to prevent the spread of the novel coronavirus, causing disruptions in the supply of wiring harnesses.

In response, SsangYong Motor decided to shut down its Pyeongtaek plant starting from the 4th, and Hyundai Motor will close all its domestic plants from the same day. Renault Samsung is also considering suspending factory operations for 2 to 3 days starting from the 11th.

However, unlike other automakers, Korea GM states that it does not yet face a depletion of wiring harness inventory. The company took preemptive measures in case the situation prolongs, and the status may change depending on the resumption of production at Chinese factories.

A Korea GM official said, "Since there is no immediate shortage of Chinese-made parts such as wiring harnesses, normal operations continue except for overtime work," adding, "Considering concerns about the spread of the novel coronavirus, we also judged that it was unnecessary to proceed with overtime, which is additional work."

This content was produced with the assistance of AI translation services.