Kumho Tire Resolves Subcontractor Contract Extension Issue... "Maintaining Existing Contract"

[Asia Economy Reporter Kiho Sung] Kumho Tire has decided to maintain contracts with its partner companies (subcontractors) responsible for manufacturing and logistics as before. Although contract termination was expected after the 20th of this month, this extension decision is expected to normalize personnel management issues.

On the 17th, Kumho Tire announced that it had renewed contracts with the in-house subcontractors, with whom it had previously notified contract termination, to maintain the existing subcontract agreements.

The subcontractors handling Kumho Tire's logistics, manufacturing, and cargo handling consist of six companies across five sectors, employing about 700 workers. They had notified Kumho Tire at the end of July that they would terminate the contracts by the end of August, citing management difficulties.

In response, Kumho Tire held three rounds of bidding for new subcontractors but failed to find any, resulting in cancellation. Subsequently, the existing subcontractors agreed to work only until the 20th but have now decided to renew the contracts.

However, since both the primary and subcontractors are facing difficulties, it is known that the contract terms will remain the same as before.

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