Kia Motors Union Secures Strike Rights... Partial Strike at Korea GM (Comprehensive)

JNC, Decision to Suspend Kia Motors Wage Negotiation Mediation
Korea GM Union, Three-Day Partial Strike

[Image source=Yonhap News]

[Asia Economy Reporter Lim Chun-han] Following the decision by the Korea GM union to carry out a partial strike, the Kia Motors union has also secured the right to strike, increasing the possibility of a chain strike in the domestic complete vehicle industry.

According to the Kia Motors union on the 5th, the Central Labor Relations Commission (CLRC) decided to suspend mediation in the dispute adjustment related to Kia Motors' wage and collective bargaining negotiations on the same day. As a result, the Kia Motors union has obtained the right to legally strike at any time.

The Kia Motors union had already secured a majority approval in a strike vote conducted among all union members on the 3rd. The approval rate for the strike was 73.3%.

The union stated, "The overwhelming approval for the strike vote is due to the union members' anger at the management's insincere negotiation attitude and irresponsible management," and added, "The management must sincerely engage in negotiations according to the union members' will and reward the performance with a reasonable proposal." Thus, the Kia Motors union is set to proceed with strike steps for the ninth consecutive year, but considering that Hyundai Motors recently reached a no-strike agreement, it is uncertain whether the dispute will actually lead to strike actions.

Hyundai Motor Group Chairman Chung Eui-sun met with the Hyundai Motors union branch chief for the first time since his inauguration on the 30th of last month, saying, "In the new industrial era brought by electric vehicles, labor and management must navigate the industrial upheaval together. Let's unite and try something new to lead the change," actively responding to the union's progressive stance.

On the other hand, Kia Motors labor and management remain at an impasse in the wage and collective bargaining negotiations. In nine rounds of main negotiations, the Kia Motors union demanded ▲ a 120,000 KRW increase in base pay ▲ payment of 30% of last year's operating profit as performance bonuses ▲ installation of electric and hydrogen vehicle module parts factories within existing plants ▲ extension of retirement age, but these demands were not accepted.

Meanwhile, the Korea GM union decided to carry out a partial strike for three days after management refused to withdraw the proposal to change the wage negotiation cycle. The union held a central dispute countermeasure committee meeting and prepared a strike guideline for workers on the first and second shifts to strike for four hours each on the 6th, 9th, and 10th of this month. They also decided to continue refusing overtime and special work, which began on the 23rd of last month.

Management proposed at the 21st collective bargaining session on the 29th of last month a final plan to pay a total of 7 million KRW per union member, including performance bonuses, on the condition that the wage negotiation cycle be changed from one year to two years. However, the union opposed this and demanded that the wage negotiation cycle remain at one year.

Korea GM labor and management held another negotiation session the day before but ended without agreement. Previously, the union had carried out partial strikes on the 31st of last month and the 2nd of this month, with workers on the first and second shifts striking for four hours each. Since the 3rd, they returned to normal work but continued to refuse overtime and special work.

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