On the afternoon of the 29th, Lee Yong-seop, Mayor of Gwangju Metropolitan City, attended the signing ceremony of the agreement for the success of the Gwangju-type labor-management win-win complete car at the business room on the 3rd floor of the city hall. After signing the agreement, a commemorative photo was taken. From the left, Park Kwang-tae, CEO of Gwangju Global Motors, Lee Yong-seop, Mayor of Gwangju Metropolitan City, and Yoon Jong-hae, Chairman of the Korean Confederation of Trade Unions Gwangju Regional Headquarters. Photo by Gwangju Metropolitan City

On the afternoon of the 29th, Lee Yong-seop, Mayor of Gwangju Metropolitan City, attended the signing ceremony of the agreement for the success of the Gwangju-type labor-management win-win complete car at the business room on the 3rd floor of the city hall. After signing the agreement, a commemorative photo was taken. From the left, Park Kwang-tae, CEO of Gwangju Global Motors, Lee Yong-seop, Mayor of Gwangju Metropolitan City, and Yoon Jong-hae, Chairman of the Korean Confederation of Trade Unions Gwangju Regional Headquarters. Photo by Gwangju Metropolitan City

View original image

[Asia Economy Reporter Kiho Sung] The Gwangju-type job project, which faced the risk of collapse due to the labor sector's withdrawal declaration, has narrowly been revived. The labor sector declared its return after accepting the conditions proposed by Gwangju Metropolitan City to establish the Labor-Management Win-Win Foundation and the Win-Win Committee, but there are concerns that significant obstacles remain during the implementation process, keeping the risk of disruption alive.


According to the automobile industry on the 1st, on the 29th of last month, Lee Yong-seop, Mayor of Gwangju, Park Kwang-tae, CEO of Global Motors (GGM), and Yoon Jong-hae, Chairman of the Korean Confederation of Trade Unions (KCTU) Gwangju Regional Headquarters, announced the "Agreement for the Success of the Gwangju-type Labor-Management Win-Win Complete Vehicle Factory" at the Gwangju City Hall Business Room.


According to the agreement, the KCTU accepted the establishment of the Gwangju Win-Win Job Foundation proposed by Gwangju City and the installation of the Labor-Management Win-Win Committee within GGM. Through the Job Foundation and the Win-Win Committee, the labor sector can maximize the reflection of its positions. In return, the labor sector withdrew five contentious issues related to GGM, including the previously advocated introduction of the labor director system. Notably, the introduction of the labor director system was a matter the labor sector had consistently pushed for and was the biggest point of disagreement with GGM shareholders.


Thus, the Gwangju-type job project, which was stalled by the labor sector's withdrawal from the labor-management win-win agreement on the 2nd of last month, was able to get back on track after 27 days.


However, controversy remains. The so-called Gwangju Win-Win Job Foundation, accepted as a condition for the labor sector's return, requires six months to a year to complete legal procedures such as government approval. Although the issue was barely sealed, conflicts may resurface during the establishment process of the Gwangju Win-Win Job Foundation.


Also, although the Labor-Management Win-Win Committee is defined as an independent advisory body, considering GGM’s status as a corporation, it has limitations in guaranteeing enforceability. There are also various conflict factors scattered around discussions expected near the factory’s completion, such as specific working conditions and the scope of welfare benefits.



Ultimately, the success of the Gwangju-type job project will depend on building mutual trust among Gwangju City, shareholders, and the labor sector. An industry insider emphasized, "The initial disruption was caused by a lack of mutual trust among the parties involved," adding, "Even if conflicts arise during the project discussions, all parties must keep in mind that many people's livelihoods depend on the Gwangju-type job project."


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

© The Asia Business Daily(www.asiae.co.kr). All rights reserved.

Today’s Briefing