Complete Car Sales Slump Puts Auto Parts Companies in Crisis... Mando Proposes Voluntary Retirement for Production Workers

Voluntary Retirement Offered to All Production Workers... First Since Halla Group Acquisition in 2008

[Asia Economy Reporter Kim Ji-hee] Mando, an automotive parts manufacturer affiliated with Halla Group, is promoting voluntary retirement for production workers. As the domestic automotive industry faces a crisis due to a sharp decline in production and sales, combined with the impact of the COVID-19 pandemic, the company is undertaking workforce restructuring.

According to industry sources on the 12th, Mando recently presented the labor union with a 'plan to resolve surplus manpower.' The plan involves offering voluntary retirement to approximately 2,000 production workers, followed by implementing rotational leave and job reassignment when surplus manpower occurs. Voluntary retirement will be offered regardless of rank, and applications will be accepted on a voluntary basis.

This is the first time Mando has promoted voluntary retirement for production workers since being acquired by Halla Group in 2008.

Kim Kwang-heon, Mando's vice president and the company's chief negotiator, stated during talks with the union on the 10th, "Cooperation between labor and management is necessary to prevent a greater crisis caused by the automotive industry's challenges and environmental changes. Voluntary retirement is purely a voluntary choice by the individual, and if there is any coercion or pressure, disciplinary actions will be taken against the responsible managers in consultation with the union."

In response, the union said, "This is a time when top management must take the lead," and requested a meeting with Chairman Chung Mong-won.

Meanwhile, Mando also implemented voluntary retirement for office workers last year. At that time, the company entered an emergency management system and reduced about 20% of its executives.

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